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Computation of Ratio of EBITDA to combined fixed charges
| For the Years Ended December 31, | ||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2004 | 2003 | 2002 | 2001 | 2000 | ||||||||||||
| (In thousands) | | |||||||||||||||
EBITDA: | |||||||||||||||||
Net income | $ | 260,447 | $ | 292,157 | $ | 215,270 | $ | 229,912 | $ | 217,586 | |||||||
Add: Interest expense (1) | 232,919 | 194,999 | 185,362 | 170,121 | 173,891 | ||||||||||||
Add: Depreciation and amortization (2) | 68,483 | 56,079 | 48,041 | 35,642 | 34,514 | ||||||||||||
Total EBITDA | $ | 561,849 | $ | 543,235 | $ | 448,673 | $ | 435,675 | $ | 425,991 | |||||||
Combined fixed charges | |||||||||||||||||
Interest expense (1) | $ | 232,919 | $ | 194,999 | $ | 185,362 | $ | 170,121 | $ | 173,891 | |||||||
Preferred dividends | 51,340 | 36,908 | 36,908 | 36,908 | 36,908 | ||||||||||||
Total combined fixed charges | $ | 284,259 | $ | 231,907 | $ | 222,270 | $ | 207,029 | $ | 210,799 | |||||||
EBITDA/Combined fixed charges (3) | 1.98 | x | 2.34 | x | 2.02 | x | 2.10 | x | 2.02 | x |
Explanatory Notes:
- (1)
- For the years ended December 31, 2004, 2003, 2002, 2001 and 2000, interest expense includes $1,892, $2,703, $430, $536 and $748 of interest expense reclassed to discontinued operations.
- (2)
- For the years ended December 31, 2004, 2003, 2002, 2001 and 2000, depreciation and amortization includes $3,942, $5,453, $5,462, $4,997 and $4,601 of depreciation and amortization reclassed to discontinued operations.
- (3)
- These ratios give effect to the first quarter 2004 CEO, CFO and Acre Partners compensation charges of $106.9 million, the 8.75% Senior Notes due 2008 redemption charges of $11.5 million and the preferred stock redemption charge of $9.0 million. Excluding these charges, the ratio of EBITDA/Combined fixed charges would have been 2.47x.
Computation of Ratio of EBITDA to combined fixed charges