Host Hotels & Resorts 10-K 2003 FY Annual report

EXHIBIT 12

HOST MARRIOTT, L.P. AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

AND PREFERRED LIMITED PARTNER UNIT DISTRIBUTIONS

(in millions, except ratio amounts)

	2003			2002			2001			2000			1999
Income (loss) from operations before income taxes	$	(237	)	$	(53	)	$	61		$	77		$	235
Add (deduct):
Fixed charges		610			582			574			530			501
Capitalized interest		(2	)		(2	)		(8	)		(8	)		(7	)
Amortization of capitalized interest		6			6			7			6			6
Minority interest in consolidated affiliates		4			8			23			26			20
Net (gains) losses related to certain 50% or less owned affiliates		22			9			(3	)		(27	)		(7	)
Distributions from equity investments		3			6			9			1			1
Distributions on preferred limited partner units		(37	)		(37	)		(32	)		(20	)		(6	)
Adjusted earnings	$	369		$	519		$	631		$	585		$	743
Fixed charges:
Interest on indebtedness and amortization of deferred financing costs	$	524		$	496		$	488		$	455		$	443
Capitalized interest		2			2			8			8			7
Distributions on preferred limited partner units		37			37			32			20			6
Portion of rents representative of the interest factor		47			47			46			47			45
Total fixed charges and preferred limited partner unit distributions	$	610		$	582		$	574		$	530		$	501
Ratio of earnings to fixed charges and preferred limited partner unit distributions		—			—			1.1			1.1			1.5
Deficiency of earnings to fixed charges and preferred limited partner unit distributions	$	(241	)	$	(63	)		—			—			—