Exhibit 12
AMERICAN TOWER CORPORATION
STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
The following table reflects the computation of the ratio of earnings to fixed charges and ratio of earnings to combined fixed charges and preferred stock dividends for the periods presented (in millions except ratios):
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | | | | | Nine months ended September 30, |
| | | 2013 | | 2014 | | 2015 | | 2016 | | 2017 | | 2018 |
| Computation of Earnings: | | | | | | | | | | | | |
| Income from continuing operations before income taxes | | $ | 541.7 |
| | $ | 865.7 |
| | $ | 830.0 |
| | $ | 1,125.9 |
| | $ | 1,256.1 |
| | $ | 957.3 |
|
| Add: | | | | | | | | | | | | |
| Interest expense (1) | | 459.8 |
| | 581.7 |
| | 596.8 |
| | 718.3 |
| | 750.8 |
| | 617.9 |
|
| Operating leases | | 148.6 |
| | 196.5 |
| | 241.4 |
| | 295.9 |
| | 326.4 |
| | 256.4 |
|
| Amortization of interest capitalized | | 2.4 |
| | 2.5 |
| | 2.6 |
| | 2.7 |
| | 2.7 |
| | 2.0 |
|
| Earnings as adjusted | | 1,152.5 |
| | 1,646.4 |
| | 1,670.8 |
| | 2,142.8 |
| | 2,336.0 |
|
| 1,833.6 |
|
| Computation of fixed charges and combined fixed charges and preferred stock dividends: | | | | | | | | | | | | |
| Interest expense (1) | | 459.8 |
| | 581.7 |
| | 596.8 |
| | 718.3 |
| | 750.8 |
| | 617.9 |
|
| Interest capitalized | | 1.8 |
| | 2.8 |
| | 1.8 |
| | 1.5 |
| | 0.2 |
| | — |
|
| Operating leases | | 148.6 |
| | 196.5 |
| | 241.4 |
| | 295.9 |
| | 326.4 |
| | 256.4 |
|
| Preference security dividend requirements of consolidated subsidiaries (2) | | — |
| | — |
| | — |
| | — |
| | 13.2 |
| | — |
|
| Fixed charges | | 610.2 |
| | 781.0 |
| | 840.0 |
| | 1,015.7 |
| | 1,090.6 |
| | 874.3 |
|
| Dividends on preferred stock | | — |
| | 23.9 |
| | 90.2 |
| | 107.1 |
| | 87.4 |
| | 9.4 |
|
| Combined fixed charges and preferred stock dividends | | 610.2 |
| | 804.9 |
| | 930.2 |
| | 1,122.8 |
| | 1,178.0 |
| | 883.7 |
|
| Excess in earnings required to cover fixed charges | | $ | 542.3 |
| | $ | 865.4 |
| | $ | 830.8 |
| | $ | 1,127.1 |
| | $ | 1,245.4 |
|
| $ | 959.3 |
|
| Ratio of earnings to fixed charges (3) | | 1.89 |
| | 2.11 |
| | 1.99 |
| | 2.11 |
| | 2.14 |
| | 2.10 |
|
| Excess in earnings required to cover combined fixed charges and preferred stock dividends | | $ | 542.3 |
| | $ | 841.5 |
| | $ | 740.6 |
| | $ | 1,020.0 |
| | $ | 1,158.0 |
| | $ | 949.9 |
|
| Ratio of earnings to combined fixed charges and preferred stock dividends | | 1.89 |
| | 2.05 |
| | 1.80 |
| | 1.91 |
| | 1.98 |
| | 2.07 |
|
_______________
| |
| (1) | Interest expense includes amortization of deferred financing costs. Interest expense also includes an amount related to our capital lease with TV Azteca. |
| |
| (2) | Preference security dividend requirements of consolidated subsidiaries is a fixed charge but not included in earnings. |
| |
| (3) | For the purposes of this calculation, “earnings” consists of income from continuing operations before income taxes and income on equity method investments, as well as fixed charges (excluding interest capitalized and amortization of interest capitalized). “Fixed charges” consists of interest expensed and capitalized, amortization of debt discounts, premiums and related issuance costs and the component of rental expense associated with operating leases believed by management to be representative of the interest factor thereon. |
