EXHIBIT 12.1
HOST HOTELS & RESORTS, L.P. AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
AND PREFERRED UNIT DISTRIBUTIONS
(in millions, except ratio amounts)
| Year-to-date ended | Year Ended December 31, | |||||||||||||||||||||||||||
| June 17, 2011 | June 18, 2010 | 2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||||||||
Income (loss) from continuing operations before income taxes | $ | (5 | ) | $ | (78 | ) | $ | (159 | ) | $ | (236 | ) | $ | 379 | $ | 534 | $ | 309 | ||||||||||
Add (deduct): | ||||||||||||||||||||||||||||
Fixed charges | 194 | 210 | 444 | 441 | 447 | 515 | 536 | |||||||||||||||||||||
Capitalized interest | (1 | ) | (1 | ) | (3 | ) | (5 | ) | (10 | ) | (10 | ) | (5 | ) | ||||||||||||||
Amortization of capitalized interest | 3 | 3 | 7 | 6 | 6 | 6 | 6 | |||||||||||||||||||||
Equity in (earnings)/losses related to certain 50% or less owned affiliates | (2 | ) | 5 | 1 | 32 | 10 | (11 | ) | 6 | |||||||||||||||||||
Distributions from equity investments | — | 2 | 2 | 1 | 3 | 4 | 3 | |||||||||||||||||||||
Distributions on preferred units | — | (4 | ) | (4 | ) | (9 | ) | (9 | ) | (9 | ) | (14 | ) | |||||||||||||||
Issuance costs of redeemed preferred OP units | — | (4 | ) | (4 | ) | — | — | — | (6 | ) | ||||||||||||||||||
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Adjusted earnings | $ | 189 | $ | 133 | $ | 284 | $ | 230 | $ | 826 | $ | 1,029 | $ | 835 | ||||||||||||||
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Fixed charges: | ||||||||||||||||||||||||||||
Interest on indebtedness and amortization of deferred financing costs | $ | 171 | $ | 179 | $ | 384 | $ | 379 | $ | 375 | $ | 444 | $ | 460 | ||||||||||||||
Capitalized interest | 1 | 1 | 3 | 5 | 10 | 10 | 5 | |||||||||||||||||||||
Distributions on preferred units | — | 4 | 4 | 9 | 9 | 9 | 14 | |||||||||||||||||||||
Issuance costs of redeemed preferred OP units | — | 4 | 4 | — | — | — | 6 | |||||||||||||||||||||
Portion of rents representative of the interest factor | 22 | 22 | 49 | 48 | 53 | 52 | 51 | |||||||||||||||||||||
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Total fixed charges and preferred OP unit distributions | $ | 194 | $ | 210 | $ | 444 | $ | 441 | $ | 447 | $ | 515 | $ | 536 | ||||||||||||||
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Ratio of earnings to fixed charges and preferred unit distributions | — | — | — | 1.8 | 2.0 | 1.6 | ||||||||||||||||||||||
Deficiency of earnings to fixed charges and preferred unit distributions | $ | (5 | ) | $ | (77 | ) | $ | (160 | ) | $ | (211 | ) | $ | — | $ | — | $ | — | ||||||||||