EX-12.1 5 d693700dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

Apollo Commercial Real Estate Finance, Inc.

Statement of Computation of Ratio of Earnings to Fixed Charges

(in thousands, except ratios)

 

     For the period
September 29,
2009
(commencement
of operations) to
December 31,
2009(1)		     For the year
ended
December 31,
2010		     For the year
ended
December 31,
2011		     For the year
ended
December 31,
2012		     For the year
ended
December 31,
2013		  

Fixed Charges

           

Interest-Expensed

    $ 101      $ 10,198      $ 15,416      $ 7,753      $ 3,727   

Interest-Capitalized

    $ —        $ 3,380      $ 680      $ 597      $ 566   

Interest-Capitalized TALF

    $ 256      $ 357      $ —        $ —        $ —     

Total Fixed Charges

    $ 358      $ 13,934      $ 16,095      $ 8,350      $ 4,293   

Earnings

           

Net Income

    $ (2,172 )    $ 10,999      $ 25,883      $ 37,102      $ 45,045   

Add Back:

           

Fixed Charges

    $ 358      $ 13,934      $ 16,095      $ 8,350      $ 4,293   

Amortization of Capitalized Interest

    $ 2      $ 1,173      $ 1,455      $ 1,962      $ 866   

Less:

           

Interest Capitalized

    $ (256 )    $ (3,737 )    $ (680 )    $ (597 )    $ (566 ) 

Total Earnings (Loss)

    $ (2,069 )    $ 22,370      $ 42,753      $ 46,817      $ 49,638   

Ratio of Earnings to Fixed Charges

      (5.79x )(2)      1.61x        2.66x        5.61x        11.56x   

 

(1) The company was formed on June 29, 2009 and completed the initial public offering of its common stock on September 29, 2009.
(2) The coverage deficiency for total fixed charges for this period was approximately $2,400 to arrive at a one-to-one ratio.

Apollo Commercial Real Estate Finance, Inc.

Statement of Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

(in thousands, except ratios)

 

     For the period
September 29,
2009
(commencement
of operations) to
December 31,
2009(1)		     For the year
ended
December 31,
2010		     For the year
ended
December 31,
2011		     For the year
ended
December 31,
2012		     For the year
ended
December 31,
2013		  

Fixed Charges

           

Interest-Expensed

    $ 101      $ 10,198      $ 15,416      $ 7,753      $ 3,727   

Interest-Capitalized

    $ —        $ 3,380      $ 680      $ 597      $ 566   

Interest-Capitalized TALF

    $ 256      $ 357      $ —        $ —        $ —     

Preferred Stock Dividends

    $ —        $ —        $ —        $ 3,079      $ 7,440   

Total Fixed Charges

    $ 358      $ 13,934      $ 16,095      $ 11,428      $ 11,733   

Earnings

           

Net Income

    $ (2,172 )    $ 10,999      $ 25,883      $ 37,102      $ 45,045   

Add Back:

           

Fixed Charges

    $ 358      $ 13,934      $ 16,095      $ 11,428      $ 11,733   

Amortization of Capitalized Interest

    $ 2      $ 1,173      $ 1,455      $ 1,962      $ 866   

Less:

           

Interest Capitalized

    $ (256 )    $ (3,737 )    $ (680 )    $ (597 )    $ (566 ) 

Total Earnings (Loss)

    $ (2,069 )    $ 22,370      $ 42,753      $ 49,896      $ 57,078   

Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

      (5.79x )(2)      1.61x        2.66x        4.37x        4.86x   

 

(1) The company was formed on June 29, 2009 and completed the initial public offering of its common stock on September 29, 2009.
(2) The coverage deficiency for total fixed charges for this period was approximately $2,400 to arrive at a one-to-one ratio.

 

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Apollo Commercial Real Estate Finance, Inc.

Statement of Computation of Pro Forma Ratio of Earnings to Fixed Charges

(in thousands, except ratios)

 

     For the year
ended
December 31,
2013(1)		  

Fixed Charges

   

Interest-Expensed

    $ 3,727   

Interest-Capitalized

    $ 566   

Interest Savings – JPMorgan Facility

    $ (90 ) 

Interest Additional – 5.50% Convertible Senior Notes due 2019

    $ 7,584   

Total Fixed Charges

    $ 11,787   

Earnings

   

Net Income

    $ 45,045   

Add Back:

   

Fixed Charges

    $ 11,787   

Amortization of Capitalized Interest

    $ 866   

Less:

   

Interest Capitalized

    $ (566 ) 

Total Earnings (Loss)

    $ 57,132   

Pro Forma Ratio of Earnings to Fixed Charges

      4.85x   

 

(1) In calculating the pro forma ratio of earnings to fixed charges, we have assumed that the notes were issued on the first day of the applicable period and no exercise by the underwriters of their option to purchase additional notes. For purposes of these pro forma calculations, we have also assumed the repayment of all of our outstanding borrowings under the repurchase facility, or the JPMorgan Facility, with JPMorgan Chase Bank, N.A. (approximately $20.4 million as of December 31, 2013) with the net proceeds from this offering; therefore, the pro forma ratio excludes the effect of the amount of the related interest expense under the JPMorgan Facility for the period. In addition, we have calculated these pro forma ratios incorporating the amortization of the underwriting discount and deferred financing costs as well as cash interest payments that we would have paid on the notes, assuming they were issued on the first day of the applicable period. Accordingly, these pro forma ratios do not reflect the additional interest expense we would incur for accounting purposes as a result of separating the notes into a liability and an equity component and amortizing the deemed debt discount into interest expense over the term of the notes in accordance with ASC 470-20.

Apollo Commercial Real Estate Finance, Inc.

Statement of Computation of Pro Forma Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

(in thousands, except ratios)

 

     For the year
ended
December 31,
2013(1)		  

Fixed Charges

   

Interest-Expensed

    $ 3,727   

Interest-Capitalized

    $ 566   

Preferred Stock Dividends

    $ 7,440   

Interest Savings – JPMorgan Facility

    $ (90 ) 

Interest Additional – 5.50% Convertible Senior Notes due 2019

    $ 7,584   

Total Fixed Charges

    $ 19,227   

Earnings

   

Net Income

    $ 45,045   

Add Back:

   

Fixed Charges

    $ 19,227   

Amortization of Capitalized Interest

    $ 866   

Less:

   

Interest Capitalized

    $ (566 ) 

Total Earnings (Loss)

    $ 64,572   

Pro Forma Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

      3.36x   

 

 

(1) In calculating the pro forma ratio of earnings to combined fixed charges and preferred stock dividends, we have assumed that the notes were issued on the first day of the applicable period and no exercise by the underwriters of their option to purchase additional notes. For purposes of these pro forma calculations, we have also assumed the repayment of all of our outstanding borrowings under the JPMorgan Facility (approximately $20.4 million as of December 31, 2013) with the net proceeds from this offering; therefore, the pro forma ratio excludes the effect of the amount of the related interest expense under the JPMorgan Facility for the period. In addition, we have calculated these pro forma ratios incorporating the amortization of the underwriting discount and deferred financing costs as well as cash interest payments that we would have paid on the notes, assuming they were issued on the first day of the applicable period. Accordingly, these pro forma ratios do not reflect the additional interest expense we would incur for accounting purposes as a result of separating the notes into a liability and an equity component and amortizing the deemed debt discount into interest expense over the term of the notes in accordance with ASC 470-20.

 

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