EX-12.1 2 a12-13848_1ex12d1.htm EX-12.1

Exhibit 12.1

 

COMMONWEALTH REIT

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(dollars in thousands)

 

 

 

Six Months
Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

Year Ended December 31,

 

 

 

2012

 

2011

 

2010

 

2009

 

2008

 

2007

 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) from continuing operations before income tax expense

 

$

45,394

 

$

63,156

 

$

(60,596

)

$

68,085

 

$

61,348

 

$

72,256

 

Equity in earnings and gains on equity transactions of investees

 

(5,787

)

(22,554

)

(43,272

)

(6,546

)

—

 

—

 

Fixed charges

 

99,343

 

195,024

 

183,433

 

173,458

 

180,553

 

172,060

 

Distributions from investees

 

8,358

 

16,617

 

16,119

 

4,975

 

—

 

—

 

Capitalized interest

 

—

 

—

 

—

 

—

 

—

 

(489

)

Adjusted Earnings

 

$

147,308

 

$

252,243

 

$

95,684

 

$

239,972

 

$

241,901

 

$

243,827

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

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

 

$

99,343

 

$

195,024

 

$

183,433

 

$

173,458

 

$

180,553

 

$

171,571

 

Capitalized interest

 

—

 

—

 

—

 

—

 

—

 

489

 

Total Fixed Charges

 

$

99,343

 

$

195,024

 

$

183,433

 

$

173,458

 

$

180,553

 

$

172,060

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of Earnings to Fixed Charges

 

1.5x

 

1.3x

 

0.5x

(1)

1.4x

 

1.3x

 

1.4x

 

 

(1) The deficiency for this period was $87,749 and reflects a loss on asset impairment of $127,740.