EX-12.0 3 wpc2015q410-kexh12.htm EXHIBIT 12.0 Exhibit


Exhibit 12

COMPUTATION OF RATIOS

For purposes of calculating the ratio of earnings to fixed charges, the term “earnings” is the amount resulting from adding (i) pre-tax income from continuing operations before adjustment for noncontrolling interests in consolidated subsidiaries or income or loss from equity investees, (ii) fixed charges, (iii) amortization of capitalized interest, and (iv) distributed income of equity investees, reduced by (i) interest capitalized and (ii) the noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges. “Fixed charges” consist of (i) interest expensed and capitalized, (ii) amortized premiums, discounts, and capitalized expenses related to indebtedness, and (iii) an estimate of the interest within rental expense.

The following table sets forth information regarding our ratio of earnings to fixed charges for the periods shown.

(Dollars in thousands)

 
Years Ended December 31,
 
2015
 
2014
 
2013
 
2012
 
2011
Income from continuing operations before income taxes and adjustments for income from partially-owned entities
$
222,848

 
$
230,360

 
$
95,237

 
$
94,287

 
$
190,254

Fixed charges
196,694

 
180,558

 
110,204

 
52,213

 
23,648

Distributed income of equity investees
(42,820
)
 
(31,015
)
 
5,287

 
(16,098
)
 
(30,421
)
Capitalized interest
(32
)
 
(18
)
 
—

 
—

 
—

Noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges
(1,658
)
 
(664
)
 
(3,457
)
 
(1,319
)
 
(2,734
)
Earnings
$
375,032

 
$
379,221

 
$
207,271

 
$
129,083

 
$
180,747

 
 
 
 
 
 
 
 
 
 
Interest expense
$
194,326

 
$
178,462

 
$
108,193

 
$
50,709

 
$
22,366

Capitalized interest
32

 
18

 
—

 
—

 
—

1/3 of rental expense - interest factor
2,336

 
2,078

 
2,011

 
1,504

 
1,282

Fixed Charges
$
196,694

 
$
180,558

 
$
110,204

 
$
52,213

 
$
23,648

 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges
1.91

 
2.10

 
1.88

 
2.47

 
7.64