EX-12 3 psi10q0305_ex12.txt EXHIBIT 12
PUBLIC STORAGE, INC. EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Three Months Ended March 31, For the Year Ended December 31, ------------------------------ ------------------------------ 2005 2004 2004 2003 --------------- -------------- -------------- -------------- (amounts in thousands, except ratios) Net income........................................... $ 96,411 $ 69,067 $ 366,213 $ 336,653 Add: Minority interest in income............... 10,644 20,620 49,913 43,703 Less: Minority interests in income which do not have fixed charges........................... (4,305) (3,913) (17,099) (13,610) Less: Equity in earnings of investments...... (5,678) (4,057) (22,564) (24,966) Add: Cash distributions from investments.... 4,537 5,014 20,961 17,754 Less: Impact of Discontinued Operations..... (1,015) 151 1,229 (3,522) --------------- -------------- -------------- -------------- Adjusted net income.................................. 100,594 86,882 398,653 356,012 Interest expense................................ 1,663 100 760 1,121 --------------- -------------- -------------- -------------- Total earnings available to cover fixed charges...... $ 102,257 $ 86,982 $ 399,413 $ 357,133 =============== ============== ============== =============== Total fixed charges - interest expense (including capitalized interest)............................. $ 2,328 $ 1,225 $ 4,377 $ 7,131 =============== ============== ============== =============== Cumulative Preferred Stock dividends................. $ 40,413 $ 38,042 $ 157,925 $ 146,196 Preferred partnership unit distributions............. 5,375 14,554 30,423 26,906 --------------- -------------- -------------- -------------- Total preferred distributions, prior to EITF Topic D-42 45,788 52,596 188,348 173,102 Allocations pursuant to EITF Topic D-42 2,778 5,786 10,787 7,120 --------------- -------------- -------------- -------------- Total preferred distributions, including EITF Topic D-42 $ 48,566 $ 58,382 $ 199,135 $ 180,222 =============== ============== ============== =============== Total combined fixed charges and preferred distributions, prior to EITF Topic D-42.............. $ 48,116 $ 53,821 $ 192,725 $ 180,233 =============== ============== ============== =============== Total combined fixed charges and preferred distributions, including EITF Topic D-42............. $ 50,894 $ 59,607 $ 203,512 $ 187,353 =============== ============== ============== =============== Ratio of earnings to fixed charges.................. 43.92x 71.01x 91.29x 50.08x =============== ============== ============== =============== Ratio of earnings to combined fixed charges and preferred distributions, prior to EITF Topic D-42. 2.13x 1.62x 2.07x 1.98x =============== ============== ============== =============== Ratio of earnings to combined fixed charges and preferred distributions, including EITF Topic D-42 2.01x 1.46x 1.96x 1.91x =============== ============== ============== ===============
For the Year Ended December 31, ------------------------------------------- 2002 2001 2000 --------------- ------------- ----------- (amounts in thousands, except ratios) Net income........................................... $ 318,738 $ 324,208 $ 297,088 Add: Minority interest in income............... 44,087 46,015 38,356 Less: Minority interests in income which do not have fixed charges........................... (14,307) (11,243) (10,549) Less: Equity in earnings of investments...... (29,888) (38,542) (39,319) Add: Cash distributions from investments.... 19,496 24,124 16,984 Less: Impact of Discontinued Operations..... 11,476 1,297 1,131 --------------- ------------- ----------- Adjusted net income.................................. 349,602 345,859 303,691 Interest expense................................ 3,809 3,227 3,293 --------------- ------------- ----------- Total earnings available to cover fixed charges...... $ 353,411 $ 349,086 $ 306,984 =============== ============= =========== Total fixed charges - interest expense (including capitalized interest)............................. $ 10,322 $ 12,219 $ 13,071 =============== ============= =========== Cumulative Preferred Stock dividends................. $ 148,926 $ 117,979 $ 100,138 Preferred partnership unit distributions............. 26,906 31,737 24,859 --------------- ------------- ----------- Total preferred distributions, prior to EITF Topic D-42 175,832 149,716 124,997 Allocations pursuant to EITF Topic D-42 6,888 14,835 - --------------- ------------- ----------- Total preferred distributions, including EITF Topic D-42 $ 182,720 $ 164,551 $ 124,997 =============== ============= =========== Total combined fixed charges and preferred distributions, prior to EITF Topic D-42.............. $ 186,154 $ 161,935 $ 138,068 =============== ============= =========== Total combined fixed charges and preferred distributions, including EITF Topic D-42............. $ 193,042 $ 176,770 $ 138,068 =============== ============= =========== Ratio of earnings to fixed charges.................. 34.24x 28.57x 23.49x =============== ============= =========== Ratio of earnings to combined fixed charges and preferred distributions, prior to EITF Topic D-42. 1.90x 2.16x 2.22x =============== ============= =========== Ratio of earnings to combined fixed charges and preferred distributions, including EITF Topic D-42 1.83x 1.97x 2.22x =============== ============= ===========
Exhibit 12 PUBLIC STORAGE, INC. EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Supplemental Disclosure of Ratio Earnings Before Interest, Taxes, Depreciation and Amortization ("EBITDA") to Fixed Charges (a): Three Months Ended March 31, For the Year Ended December 31, ------------------------ ------------- --------------- 2005 2004 2004 2003 ----------- ------------ ------------- --------------- (amounts in thousands, except ratios) Net income........................................................... $ 96,411 $ 69,067 $ 366,213 $ 336,653 Less: (Gain)/Loss on sale of real estate, impairment of real estate assets and real estate investments including discontinued operations...................................... - - (2,288) (5,378) Less: Our equity share of EITF D-42 charges, impairment (gain)/loss on sale of real estate........................... (1,265) 943 (4,544) (187) Add: Depreciation and amortization............................. 48,005 46,848 184,345 188,003 Less: Depreciation allocable to minority interests............. (1,320) (1,575) (6,046) (6,328) Add: Depreciation included in equity in earnings of real estate entities..................................................... 8,685 8,275 33,720 27,753 Add: Minority interest - preferred............................. 6,249 16,617 32,486 26,906 Add: Interest expense.......................................... 1,663 100 760 1,121 ----------- ------------ ------------- --------------- EBITDA available to cover fixed charges.............................. $ 158,428 $140,275 $ 604,646 $ 568,543 =========== ============ ============= =============== Total fixed charges - interest expense (including capitalized interest)......................................................... $ 2,328 $ 1,225 $ 4,377 $ 7,131 =========== ============ ============= =============== Cumulative Preferred Stock dividends................................. $ 40,413 $ 38,042 $ 157,925 $ 146,196 Preferred partnership unit distributions............................. 5,375 14,554 30,423 26,906 ----------- ------------ ------------- --------------- Total preferred distributions, prior to EITF Topic D-42.............. 45,788 52,596 188,348 173,102 Allocations pursuant to EITF Topic D-42......................... 2,778 5,786 10,787 7,120 ----------- ------------ ------------- --------------- Total preferred distributions, including EITF Topic D-42............. $ 48,566 $ 58,382 $ 199,135 $ 180,222 =========== ============ ============= =============== Total combined fixed charges and preferred distributions, prior to EITF Topic D-42...................................................... $ 48,116 $ 53,821 $ 192,725 $ 180,233 =========== ============ ============= =============== Total combined fixed charges and preferred distributions, including EITF Topic D-42...................................................... $ 50,894 $ 59,607 $ 203,512 $ 187,353 =========== ============ ============= =============== Ratio of earnings to fixed charges.................................. 68.05x 114.51x 138.14x 79.73x =========== ============ ============= =============== Ratio of earnings to combined fixed charges and preferred distributions, prior to EITF Topic D-42........................... 3.29x 2.61x 3.14x 3.15x =========== ============ ============= =============== Ratio of earnings to combined fixed charges and preferred distributions, including EITF Topic D-42.......................... 3.11x 2.35x 2.97x 3.03x =========== ============ ============= ===============
For the Year Ended December 31, ------------- ---------- --------------- 2002 2001 2000 ------------- ---------- --------------- (amounts in thousands, except ratios) Net income........................................................... $ 318,738 $ 324,208 $ 297,088 Less: (Gain)/Loss on sale of real estate, impairment of real estate assets and real estate investments including discontinued operations...................................... 2,541 (4,091) (576) Less: Our equity share of EITF D-42 charges, impairment (gain)/loss on sale of real estate........................... (3,737) - (3,210) Add: Depreciation and amortization............................. 181,648 168,061 148,967 Less: Depreciation allocable to minority interests............. (8,087) (7,847) (7,138) Add: Depreciation included in equity in earnings of real estate 27,078 25,096 21,825 entities..................................................... Add: Minority interest - preferred............................. 26,906 31,737 24,859 Add: Interest expense.......................................... 3,809 3,227 3,293 ------------- ---------- --------------- EBITDA available to cover fixed charges.............................. $ 548,896 $ 540,391 $ 485,108 ============= ========== =============== Total fixed charges - interest expense (including capitalized interest)......................................................... $ 10,322 $ 12,219 $ 13,071 ============= ========== =============== Cumulative Preferred Stock dividends................................. $ 148,926 $ 117,979 $ 100,138 Preferred partnership unit distributions............................. 26,906 31,737 24,859 ------------- ---------- --------------- Total preferred distributions, prior to EITF Topic D-42.............. 175,832 149,716 124,997 Allocations pursuant to EITF Topic D-42......................... 6,888 14,835 - ------------- ---------- --------------- Total preferred distributions, including EITF Topic D-42............. $ 182,720 $ 164,551 $ 124,997 ============= ========== =============== Total combined fixed charges and preferred distributions, prior to EITF Topic D-42...................................................... $ 186,154 $ 161,935 $ 138,068 ============= ========== =============== Total combined fixed charges and preferred distributions, including EITF Topic D-42...................................................... $ 193,042 $ 176,770 $ 138,068 ============= ========== =============== Ratio of earnings to fixed charges.................................. 53.18x 44.23x 37.11x ============= ========== =============== Ratio of earnings to combined fixed charges and preferred distributions, prior to EITF Topic D-42........................... 2.95x 3.34x 3.51x ============= ========== =============== Ratio of earnings to combined fixed charges and preferred distributions, including EITF Topic D-42.......................... 2.84x 3.06x 3.51x ============= ========== =============== (a) EBITDA represents earnings prior to interest, taxes, depreciation, amortization, gains on sale of real estate assets and the impact of the application of EITF Topic D-42. This supplemental disclosure of EBITDA is included because financial analysts and other members of the investment community consider coverage ratios for real estate companies on a pre-depreciation basis.
Exhibit 12