EX-12.2 9 eqc123115exhibit122.htm EXHIBIT 12.2 Exhibit



Exhibit 12.2
EQUITY COMMONWEALTH
COMPUTATION OF RATIO OF EARNINGS TO COMBINED
FIXED CHARGES AND PREFERRED DISTRIBUTIONS
(dollars in thousands)

 
Year Ended December 31,
 
2015
 
2014
 
2013(1)
 
2012(1)
 
2011(1)
Earnings:
 

 
 

 
 

 
 

 
 

Income (loss) from continuing operations before income tax expense and equity in earnings of investees
102,221

 
$
(63
)
 
$
(62,034
)
 
$
84,484

 
$
53,992

Gains on equity transactions of investees
—

 
(17,020
)
 
—

 
(7,246
)
 
(11,177
)
Fixed charges before preferred distributions
107,316

 
143,838

 
174,753

 
204,244

 
195,024

Distributions from investees
—

 
20,680

 
24,079

 
16,816

 
16,617

Adjusted Earnings
$
209,537

 
$
147,435

 
$
136,798

 
$
298,298

 
$
254,456

 
 
 
 
 
 
 
 
 
 
Fixed Charges and Preferred Distributions:
 

 
 

 
 

 
 

 
 

Interest expense (including net amortization of debt discounts, premiums and deferred financing fees)
$
107,316

 
$
143,838

 
$
174,753

 
$
204,244

 
$
195,024

Preferred distributions
27,924

 
32,095

 
44,604

 
51,552

 
46,985

Combined Fixed Charges and Preferred Distributions
$
135,240

 
$
175,933

 
$
219,357

 
$
255,796

 
$
242,009

 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Combined Fixed Charges and Preferred Distributions
1.5
x
 
0.8x

(2)
0.6x

(3)
1.2x

 
1.1x

 
 
 
 
 
 
 
 
 
 

(1)
Reclassifications have been made to the prior years' financial statements to conform to the current year's presentation.
(2)
The deficiency for this period was $28,498.
(3)
The deficiency for this period was $82,559.