EX-12 6 ex12.txt COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES PS BUSINESS PARKS, INC. EXHIBIT 12 STATEMENT RE: Computation of Ratio of Earnings to Fixed Charges
Years Ended December 31, ------------------------------------------------------------------------------- 2001 2000 1999 1998 1997 ------------- ------------- ------------- ------------- ------------- Net income......................... $ 49,870,000 $ 51,181,000 $ 41,255,000 $ 29,400,000 $ 3,836,000 Minority interest.................. 27,489,000 26,741,000 16,049,000 11,208,000 8,566,000 Interest expense................... 1,715,000 1,481,000 3,153,000 2,361,000 1,000 ------------- ------------- ------------- ------------- ------------- Earnings available to cover fixed charges......................... $ 79,074,00 $ 79,403,000 $ 60,457,000 $ 42,969,000 $ 12,403,000 ============= ============= ============= ============= ============= Fixed charges (1).................. $ 2,806,000 $ 2,896,000 $ 4,142,000 $ 2,629,000 $ 1,000 Preferred distributions............ 22,961,000 17,273,000 7,562,000 - - ------------- ------------- ------------- ------------- ------------- Combined fixed charges and preferred distributions................... $ 25,767,000 $ 20,169,000 $ 11,704,000 $ 2,629,000 $ 1,000 ============= ============= ============= ============= ============= Ratio of earnings to fixed charges. 28.18 27.42 14.60 16.34 12,403 ============= ============= ============= ============= ============= Ratio of earnings to combined fixed charges and preferred distributions................... 3.07 3.94 5.17 16.34 12,403 ============= ============= ============= ============= ============= Supplemental disclosure of Ratio of Funds from Operations ("FFO") to fixed charges: Years Ended December 31, ------------------------------------------------------------------------------- 2001 2000 1999 1998 1997 ------------- ------------- ------------- ------------- ------------- FFO................................ $ 93,568,000 $ 85,977,000 $ 76,353,000 $ 57,430,000 $ 17,597,000 Interest expense................... 1,715,000 1,481,000 3,153,000 2,361,000 1,000 Minority interest in income - preferred units.................... 14,107,000 12,185,000 4,156,000 - - Preferred dividends................ 8,854,000 5,088,000 3,406,000 - - ------------- ------------- ------------- ------------- ------------- Adjusted FFO available to cover fixed charges................... $ 118,244,000 $ 104,731,000 $ 87,068,000 $ 59,791,000 $ 17,598,000 ============= ============= ============= ============= ============= Fixed charges (1).................. $ 2,806,000 $ 2,896,000 $ 4,142,000 $ 2,629,000 $ 1,000 Preferred distributions............ 22,961,000 17,273,000 7,562,000 - - ------------- ------------- ------------- ------------- ------------- Combined fixed charges and preferred distributions................... $ 25,767,000 $ 20,169,000 $ 11,704,000 $ 2,629,000 $ 1,000 ============= ============= ============= ============= ============= Ratio of FFO to fixed charges...... 42.14 36.16 21.02 22.74 17,598 ============= ============= ============= ============= ============= Ratio of FFO to combined fixed charges and preferred distributions................... 4.59 5.19 7.44 22.74 17,598 ============= ============= ============= ============= =============
(1) Fixed charges include interest expense plus capitalized interest.