Exhibit 12.1
Textainer Group Holdings Limited and Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
(All currency expressed in United States dollars in thousands)
Year Ended December 31, | ||||||||||||||||||||
2017 | 2016 | 2015 | 2014 | 2013 | ||||||||||||||||
Income (loss) before taxes | $ | 20,983 | $ | (55,930 | ) | $ | 115,103 | $ | 172,487 | $ | 190,909 | |||||||||
Add back: Fixed charges | 121,771 | 88,380 | 83,731 | 91,555 | 88,688 | |||||||||||||||
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Calculated earnings | $ | 142,754 | $ | 32,450 | $ | 198,834 | $ | 264,042 | $ | 279,597 | ||||||||||
Fixed Charges Calculation: | ||||||||||||||||||||
Interest expense | $ | 117,475 | $ | 85,215 | $ | 76,063 | $ | 79,117 | $ | 84,279 | ||||||||||
Write-off of unamortized deferred debt costs and bond discounts | $ | 7,550 | $ | — | $ | 458 | $ | 6,814 | $ | 895 | ||||||||||
Realized losses on interest rate swaps, collars and caps, net | 1,191 | 8,928 | 12,823 | 10,293 | 8,409 | |||||||||||||||
Interest expense portion of rental expense | 1,144 | 422 | 538 | 519 | 450 | |||||||||||||||
Impact of fixed charges on net income attributable to the noncontrolling interest | (5,589 | ) | (6,185 | ) | (6,151 | ) | (5,188 | ) | (5,345 | ) | ||||||||||
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Total fixed charges | $ | 121,771 | $ | 88,380 | $ | 83,731 | $ | 91,555 | $ | 88,688 | ||||||||||
Fixed charges exclude capitalized interest; capitalized interest is zero | ||||||||||||||||||||
Ratio: Earnings/Fixed Charges | 1.17 | 0.37 | 2.37 | 2.88 | 3.15 | |||||||||||||||
Interest expense portion of rental expense is estimated as follows: | ||||||||||||||||||||
Rent expense—office | $ | 3,432 | $ | 1,265 | $ | 1,614 | $ | 1,557 | $ | 1,350 | ||||||||||
Estimated interest portion | 33 | % | 33 | % | 33 | % | 33 | % | 33 | % | ||||||||||
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Calculated interest expense portion of rental expense | $ | 1,144 | $ | 422 | $ | 538 | $ | 519 | $ | 450 |
Note: Interest component of rental expense estimated to be 1/3 of rental expense, which represents a reasonable approximation of the interest factor.