Exhibit 12.1
STATEMENT OF COMPUTATION OF RATIOS OF EARNINGS
TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS
(in thousands, except ratios)
Because Spirit Realty Capital, Inc., directly or indirectly through wholly-owned subsidiaries, owns 100% interest in Spirit Realty, L.P., the ratios of earnings to combined fixed charges are the same for Spirit Realty Capital, Inc. and Spirit Realty, L.P.
Twelve Months Ended December 31, | ||||||||||||||||||||||
2017 | 2016 | 2015 | 2014 | 2013 | ||||||||||||||||||
Pre-tax income (loss) from continuing operations | $ | 12,436 | $ | 46,046 | $ | 24,704 | $ | (50,186 | ) | $ | (32,059 | ) | ||||||||||
Add: Fixed charges | 190,127 | 196,586 | 222,901 | 220,070 | 179,267 | |||||||||||||||||
Pre-tax earnings from continuing operations before fixed charges | $ | 202,563 | $ | 242,632 | $ | 247,605 | $ | 169,884 | $ | 147,208 | ||||||||||||
Fixed charges: | ||||||||||||||||||||||
Interest expense | $ | 166,659 | $ | 181,206 | $ | 212,534 | $ | 214,895 | $ | 161,415 | ||||||||||||
Amortization of deferred financing costs | 9,896 | 9,070 | 7,937 | 5,899 | 13,188 | |||||||||||||||||
Amortization of discount relating to indebtedness | 14,638 | 15,104 | 17,823 | 17,752 | 13,234 | |||||||||||||||||
Amortization of premium relating to indebtedness | (1,066 | ) | (8,887 | ) | (15,501 | ) | (18,601 | ) | (8,581 | ) | ||||||||||||
Amortization related to interest rate swaps | — | 93 | 108 | 125 | 11 | |||||||||||||||||
Fixed charges | $ | 190,127 | $ | 196,586 | $ | 222,901 | $ | 220,070 | $ | 179,267 | ||||||||||||
Ratio of earnings from continuing operations to fixed charges | 1.07x | 1.23x | 1.11x | — | (1 | ) | — | (1 | ) | |||||||||||||
Fixed charges | $ | 190,127 | $ | 196,586 | $ | 222,901 | $ | 220,070 | $ | 179,267 | ||||||||||||
Preferred dividends | 2,530 | — | — | — | — | |||||||||||||||||
Combined fixed charges and preferred dividends | $ | 192,657 | $ | 196,586 | $ | 222,901 | $ | 220,070 | $ | 179,267 | ||||||||||||
Ratio of Earnings to Combined Fixed Charges and Preferred Dividends | 1.05x | 1.23x | 1.11x | — | (2 | ) | — | (2 | ) | |||||||||||||
Surplus (Deficiency) Combined Fixed Charges and Preferred Dividends | $ | 9,906 | $ | 46,046 | $ | 24,704 | $ | (50,186 | ) | $ | (32,059 | ) | ||||||||||
Interest expense | 166,659 | 181,299 | 212,642 | 215,020 | 161,426 |
(1) The ratio of earnings from continuing operations to fixed charges was less than 1.00 as a result of losses from continuing operations.
(2) The ratio of earnings to combined fixed charges and preferred dividends was less than 1.00 as a result of losses from continuing operations.