Exhibit 99.2
POST APARTMENT HOMES, L.P.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DISTRIBUTIONS
(Dollars in thousands)
| Nine Months Ended Sept 30, 2012 | ||||||||||||||||||||||||
| Year Ended December 31, | ||||||||||||||||||||||||
| 2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Income (loss) from continuing operations | $ | 65,357 | $ | 25,595 | $ | (6,991 | ) | $ | (95,727 | ) | $ | (96,147 | ) | $ | 107,049 | |||||||||
Equity in loss (income) of unconsolidated entities | (7,416 | ) | (1,001 | ) | (18,739 | ) | 74,447 | (1,224 | ) | (1,556 | ) | |||||||||||||
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Income (loss) from continuing operations before equity in loss (income) of unconsolidated entities | 57,941 | 24,594 | (25,730 | ) | (21,280 | ) | (97,371 | ) | 105,493 | |||||||||||||||
Add: | ||||||||||||||||||||||||
Distribution of income from investments in unconsolidated entities | 2,436 | 1,744 | 1,076 | 1,677 | 2,650 | 2,554 | ||||||||||||||||||
Fixed charges | 41,305 | 63,025 | 65,443 | 69,569 | 69,774 | 69,854 | ||||||||||||||||||
Deduct: | ||||||||||||||||||||||||
Capitalized interest | (4,414 | ) | (3,000 | ) | (6,927 | ) | (12,259 | ) | (12,406 | ) | (11,801 | ) | ||||||||||||
Minority interest in income of consolidated property partnerships not incurring fixed charges | — | — | (95 | ) | — | (130 | ) | (1,603 | ) | |||||||||||||||
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Total Earnings ( A ) | $ | 97,268 | $ | 86,363 | $ | 33,767 | $ | 37,707 | $ | (37,483 | ) | $ | 164,497 | |||||||||||
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Fixed charges and preferred distributions: | ||||||||||||||||||||||||
Interest expense (1) | $ | 34,564 | $ | 56,791 | $ | 54,613 | $ | 53,154 | $ | 52,779 | $ | 53,633 | ||||||||||||
Amortization of deferred financing costs | 2,026 | 2,797 | 2,987 | 3,079 | 3,473 | 3,297 | ||||||||||||||||||
Capitalized interest | 4,414 | 3,000 | 6,927 | 12,259 | 12,406 | 11,801 | ||||||||||||||||||
Rentals (2) | 301 | 437 | 916 | 1,077 | 1,116 | 1,123 | ||||||||||||||||||
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Total Fixed Charges ( B ) | $ | 41,305 | $ | 63,025 | $ | 65,443 | $ | 69,569 | $ | 69,774 | $ | 69,854 | ||||||||||||
Preferred distributions, including redemption costs | 2,766 | 6,212 | 7,547 | 7,637 | 7,637 | 7,637 | ||||||||||||||||||
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Total Fixed Charges and Preferred Distributions ( C ) | $ | 44,071 | $ | 69,237 | $ | 72,990 | $ | 77,206 | $ | 77,411 | $ | 77,491 | ||||||||||||
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Ratio of Earnings to Fixed Charges ( A / B ) | 2.4 | x | 1.4 | x | 0.5 | x (3) | 0.5 | x (3) | N/A | (3) | 2.4 | x | ||||||||||||
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Ratio of Earnings to Fixed Charges and Preferred Distributions ( A / C ) | 2.2 | x | 1.2 | x | 0.5 | x (3) | 0.5 | x (3) | N/A | (3) | 2.1 | x | ||||||||||||
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| (1) | Interest expense includes interest expense of continuing and discontinued operations. |
| (2) | For the nine months ended September 30, 2012 and for the years ended December 31, 2011, 2010, 2009, 2008 and 2007, the interest factor of rental expense is calculated as one-third of rental expense. Post Apartment Homes, L.P. believes these represent appropriate interest factors. |
| (3) | Post Apartment Homes, L.P. would need additional earnings of $31,676, $31,862 and $107,257 for the years ended December 31, 2010, 2009 and 2008, respectively, for the Ratio of Earnings to Fixed Charges to equal 1.0. Post Apartment Homes, L.P. would need additional earnings of $39,223, $39,499 and $114,894 for the years ended December 31, 2010, 2009 and 2008, respectively, for the Ratio of Earnings to Fixed Charges and Preferred Distributions to equal 1.0. |