EX-12.2 6 spg-20161231ex122969435.htm EX-12.2 spg_Ex12_2

Exhibit 12.2

Simon Property Group, L.P.

Computation of Ratio of Earnings to Fixed Charges

Unaudited, (in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the year ended December 31,

 

    

2016

    

2015

    

2014

    

2013

    

2012

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax income from continuing operations

 

$
2,164,384

 

$
2,159,545

 

$
1,650,250

 

$
1,406,331

 

$
1,578,957

Add:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Distributions of income from unconsolidated entities

 

 
331,627

 

 
271,998

 

 
201,614

 

 
177,354

 

 
148,927

Amortization of capitalized interest

 

 
5,267

 

 
4,527

 

 
3,925

 

 
3,900

 

 
999

Fixed Charges

 

 
1,039,811

 

 
1,092,286

 

 
1,152,166

 

 
1,112,808

 

 
1,104,099

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from unconsolidated entities

 

 
(425,481)

 

 
(535,322)

 

 
(226,774)

 

 
(206,380)

 

 
(121,634)

Minority interest in pre-tax (income) loss of subsidiaries that have not incurred fixed charges

 

 
(434)

 

 
(399)

 

 
(347)

 

 
(1,063)

 

 
(1,286)

Interest capitalization

 

 
(31,250)

 

 
(32,664)

 

 
(16,500)

 

 
(15,585)

 

 
(20,703)

Preferred distributions of consolidated subsidiaries

 

 
(1,915)

 

 
(1,915)

 

 
(1,915)

 

 
(1,915)

 

 
(1,915)

Earnings

 

$
3,082,009

 

$
2,958,056

 

$
2,762,419

 

$
2,475,450

 

$
2,687,444

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Portion of rents representative of the interest factor

 

 
12,315

 

 
13,057

 

 
13,577

 

 
13,227

 

 
13,300

Interest on indebtedness (including amortization of debt expense)

 

 
857,554

 

 
923,697

 

 
992,601

 

 
1,082,081

 

 
1,068,181

Interest capitalized

 

 
31,250

 

 
32,664

 

 
16,500

 

 
15,585

 

 
20,703

Loss on extinguishment of debt

 

 
136,777

 

 
120,953

 

 
127,573

 

 

—

 

 

—

Fixed Charges

 

$
1,037,896

 

$
1,090,371

 

$
1,150,251

 

$
1,110,893

 

$
1,102,184

Ratio of Earnings to Fixed Charges

 

 

2.97x

 

 

2.71x

 

 

2.40x

 

 

2.23x

 

 

2.44x

For purposes of calculating the ratio of earnings to fixed charges, the term “earnings” is the amount resulting from adding (a) pre‑tax income from continuing operations before adjustment for noncontrolling interests in consolidated subsidiaries or income or loss from equity investees, (b) fixed charges, (c) amortization of capitalized interest and (d) distributed income of equity investees, reduced by (a) interest capitalized and (b) the noncontrolling interest in pre‑tax income of subsidiaries that have not incurred fixed charges. “Fixed charges” consist of (a) interest expensed and capitalized, (b) amortized premiums, discounts and capitalized expenses related to indebtedness and (c) an estimate of the interest within rental expense.

There are generally no restrictions on our ability to receive distributions from our joint ventures where no preference in favor of the other owners of the joint venture exists.

Ratios have been revised for all years presented to reflect the spin‑off of Washington Prime Group Inc.