EXHIBIT 12.1
Kite Realty Group Trust
Calculation of Ratio of Earnings to Combined Fixed Charges and Preferred Dividends
Years ended December 31 | ||||||||||||||||||||
2012 | 2011 | 2010 | 2009 | 2008 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Net income (loss) from continuing operations | $ | (12,126,085 | ) | $ | 3,556,493 | $ | (9,407,478 | ) | $ | 3,595,529 | $ | 10,521,859 | ||||||||
Add: | ||||||||||||||||||||
Income taxes expense (benefit) | (105,984 | ) | (1,294 | ) | 265,986 | (22,293 | ) | 1,927,830 | ||||||||||||
Fixed charges, net of capitalized interest | 25,691,237 | 23,634,020 | 26,837,276 | 25,653,912 | 28,128,780 | |||||||||||||||
Distributions and income from majority-owned unconsolidated entity | — | — | — | 381,514 | 825,747 | |||||||||||||||
Less: | ||||||||||||||||||||
Income (loss) from unconsolidated entities | 91,452 | 4,653,783 | (51,964 | ) | 226,041 | 2,075,000 | ||||||||||||||
Earnings before fixed charges and preferred dividends | $ | 13,367,716 | 22,535,436 | 17,747,748 | 29,382,621 | 39,329,216 | ||||||||||||||
Fixed charges: | ||||||||||||||||||||
Interest expense | $ | 25,660,381 | $ | 23,599,227 | $ | 26,809,424 | $ | 25,633,856 | $ | 28,112,090 | ||||||||||
Capitalized interest | 7,444,472 | 8,486,590 | 8,807,062 | 8,892,218 | 10,061,770 | |||||||||||||||
Interest within rental expense | 30,856 | 34,793 | 27,852 | 20,056 | 16,690 | |||||||||||||||
Fixed charges of unconsolidated entities | — | — | — | 179,177 | 261,044 | |||||||||||||||
Total fixed charges | 33,135,709 | $ | 32,120,610 | $ | 35,644,338 | $ | 34,725,307 | $ | 38,451,594 | |||||||||||
Preferred dividends | 7,920,002 | 5,775,000 | 376,979 | — | — | |||||||||||||||
Total fixed charges and preferred dividends | $ | 41,055,711 | $ | 37,895,610 | $ | 36,021,317 | $ | 34,725,307 | $ | 38,451,594 | ||||||||||
Ratio of earnings to fixed charges and preferred dividends | (1 | ) | (2 | ) | (3 | ) | (4 | ) | 1.02 |
(1) | The ratio is less than 1.0; the amount of coverage deficiency for the year ended December 31, 2012 was $27.7 million. The calculation of earnings includes $40.4 million of non-cash depreciation expense and a $8.0 million non-cash remeasurement loss on consolidation of Parkside Town Commons, net. |
(2) | The ratio is less than 1.0; the amount of coverage deficiency for the year ended December 31, 2011 was $15.4 million. The calculation of earnings includes $34.7 million of non-cash depreciation expense. |
(3) | The ratio is less than 1.0; the amount of coverage deficiency for the year ended December 31, 2010 was $18.3 million. The calculation of earnings includes $37.5 million of non-cash depreciation expense. |
(4) | The ratio is less than 1.0; the amount of coverage deficiency for the year ended December 31, 2009 was $3.6 million. The calculation of earnings includes $30.1 million of non-cash depreciation expense. |