EX-12 2 form10q3q06ex12.htm RATIO OF EARNINGS Ratio of Earnings
 
                 Exhibit 12   
                     
TAUBMAN CENTERS, INC.
  
                     
Computation of Ratios of Earnings to Combined Fixed Charges and Preferred Dividends
(in thousands, except ratios)
  
                     
 
          
Nine Months Ended 
  
 
          
September 30 
  
           
2006
 
 
2005
  
                     
Earnings before income from equity investees
       
$
36,976
  
$
11,485
  
                     
Add back:
                    
Fixed charges
        
$
111,121
  
$
92,019
  
Amortization of previously capitalized interest
         
3,247
   
2,783
 
Distributed income of Unconsolidated Joint Ventures
          
22,965
   
27,710
 
                     
Deduct:
                    
Capitalized interest
         
(6,852
)
  
(8,129
)
Preferred distributions
          
(1,845
)
  
(1,845
)
                     
Earnings available for fixed charges and preferred dividends
        
$
165,612
  
$
124,023
  
                     
Fixed Charges
                    
Interest expense (1)
        
$
98,468
  
$
79,251
  
Capitalized interest
          
6,852
   
8,129
 
Interest portion of rent expense
          
3,956
   
2,794
 
Preferred distributions
          
1,845
   
1,845
 
Total fixed charges
        
$
111,121
  
$
92,019
  
                     
Preferred dividends (2)
          
20,064
   
21,618
 
                     
Total fixed charges and preferred dividends
        
$
131,185
  
$
113,637
  
                     
Ratio of earnings to fixed charges and preferred dividends
          
1.3
   
1.1
 
                     
                     
                     
(1)   Interest expense for the nine months ended September 30, 2006 includes charges of $3.1 million in connection with the write-off of financing costs related to the respective pay-off and refinancing of the loans on The Shops at Willow Bend and Dolphin Mall when the loans became prepayable without penalty.
                     
(2)   Preferred dividends for the nine months ended September 30, 2006 include $4.7 million of charges recognized in connection with the redemption of the Series A and I Preferred Stock. Preferred dividends for the nine months ended September 30, 2005 include a $3.1 million charge related to the partial redemption of the Series A Preferred Stock.