EX-12.1 2 dex121.htm EXHIBIT 12.1 EXHIBIT 12.1

EXHIBIT 12.1

 

HOST MARRIOTT CORPORATION AND SUBSIDIARIES

 

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

AND PREFERRED STOCK DIVIDENDS

(in millions, except ratio amounts)

 

     Year-to-date ended
  
     June 18, 2004
     June 20, 2003
  

Income (loss) from continuing operations before income taxes

    $ (28 )   $ (55 )

Add (deduct):

                 

Fixed charges

      290       271  

Capitalized interest

      (2 )     (1 )

Amortization of capitalized interest

      3       3  

Minority interest in consolidated affiliates

      2       (2 )

Net (gains) losses related to certain 50% or less owned affiliates

      8       9  

Distributions from equity investments

      1       3  

Dividends on preferred stock

      (19 )     (18 )
    
 

Adjusted earnings

    $ 255     $ 210  
    
 

Fixed charges:

                 

Interest on indebtedness and amortization of deferred financing costs

    $ 248     $ 216  

Capitalized interest

      2       1  

Dividends on convertible preferred securities of subsidiary trust

      —         15  

Dividends on preferred stock

      19       18  

Portion of rents representative of the interest factor

      21       21  
    
 

Total fixed charges and preferred stock dividends

    $ 290     $ 271  
    
 

Deficiency of earnings to fixed charges and preferred stock dividends (1)

    $ (35 )   $ (61 )
    
 

 

(1) For year-to-date June 18, 2004 and June 20, 2003, deficiency of earnings to fixed charges and preferred stock dividends includes depreciation expense of $165 million for both periods, respectively.

 

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