EX-12.2 4 d98880exv12w2.htm EX-12.2 RATIO OF EARNINGS - COMBINED FIXED CHARGES Archstone Smith Operating Trust
 

EXHIBIT 12.2

ARCHSTONE-SMITH OPERATING TRUST
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED UNIT DISTRIBUTIONS

(Dollar amounts in thousands)

(Unaudited)

                                                             
        Six Months Ended June 30,   Twelve Months Ended December 31,
       
 
        2002   2001   2001   2000   1999   1998   1997(1)
       
 
 
 
 
 
 
Earnings from operations
   $ 132,693     $ 78,838     $ 175,397     $ 176,466     $ 169,339     $ 134,571     $ 24,686  
Add:
                                                        
 
Interest expense
     99,151       65,883       141,907       145,173       121,494       83,350       61,153  
 
    
     
     
     
     
     
     
 
Earnings as adjusted
   $ 231,844     $ 144,721     $ 317,304     $ 321,639     $ 290,833     $ 217,921     $ 85,839  
 
    
     
     
     
     
     
     
 
Combined fixed charges and Preferred Unit dividends:
                                                        
 
Interest expense
   $ 99,151     $ 65,883     $ 141,907     $ 145,173     $ 121,494     $ 83,350     $ 61,153  
 
Capitalized interest
     11,870       10,201       20,294       24,317       31,912       29,942       17,606  
 
    
     
     
     
     
     
     
 
   
Total fixed charges
     111,021       76,084       162,201       169,490       153,406       113,292       78,759  
 
    
     
     
     
     
     
     
 
 
Preferred Unit dividends
     17,440       11,211       22,277       25,340       23,733       20,938       19,384  
 
    
     
     
     
     
     
     
 
Combined fixed charges and Preferred Unit dividends
   $ 128,461     $ 87,295     $ 184,478     $ 194,830     $ 177,139     $ 134,230     $ 98,143  
 
    
     
     
     
     
     
     
 
Ratio of earnings to combined fixed charges and Preferred Unit dividends
     1.8       1.7       1.7       1.7       1.6       1.6       0.9  
 
    
     
     
     
     
     
     
 

  (1)   Earnings from operations for 1997 includes a one-time, non-cash charge of $71.7 million associated with costs incurred in acquiring Archstone-Smith’s REIT and property management companies from Security Capital. Accordingly, earnings from operations were insufficient to cover combined fixed charges and Preferred Share dividends by $12.3 million for the year ended December 31, 1997. Excluding the charge, the ratio of earnings to combined fixed charges and Preferred Share dividends for the year ended December 31, 1997 would be 1.6.