Exhibit 12.1
Starwood Property Trust, Inc.
Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
(in thousands, except ratios)
|
|
|
|
|
|
|
| For the period from August 17, 2009 |
| ||||
|
| For the nine months ended |
| For the year ended December 31, |
| (commencement of operations) |
| ||||||
|
| September 30, 2012 |
| 2011 |
| 2010 |
| through December 31, 2009 |
| ||||
Fixed Charges |
|
|
|
|
|
|
|
|
| ||||
Interest expense |
| $ | 30,449 |
| $ | 25,002 |
| $ | 15,141 |
| $ | 1,904 |
|
Interest capitalized |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Amortization of premiums and discounts |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Amortization of capitalized expenses relating to debt |
| $ | 3,896 |
| $ | 3,780 |
| $ | 646 |
| 20 |
| |
Interest within rental expense |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Preferred security dividend requirements in consolidated subsidiaries |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Total fixed charges |
| $ | 34,345 |
| $ | 28,782 |
| $ | 15,787 |
| $ | 1,924 |
|
|
|
|
|
|
|
|
|
|
| ||||
Earnings |
|
|
|
|
|
|
|
|
| ||||
Pre-tax income (loss) from continuing operations before equity investees |
| $ | 144,359 |
| $ | 120,349 |
| $ | 56,267 |
| $ | (2,580 | ) |
Add: |
|
|
|
|
|
|
|
|
| ||||
Fixed charges |
| $ | 34,345 |
| $ | 28,782 |
| $ | 15,787 |
| 1,924 |
| |
Amortization of capitalized interest |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Distributed income of equity investees |
| $ | 1,730 |
| $ | 1,049 |
| $ | — |
|
|
| |
Income from equity investees arising from guarantees |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Less: |
|
|
|
|
|
|
|
|
| ||||
Interest capitalized |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
Preference security dividend requirements of consolidated subsidiaries |
| $ | — |
| $ | — |
| $ | — |
|
|
| |
The non-controlling interest in pre-tax subsidiaries that have not incurred fixed charges |
| $ | 388 |
| $ | 1,231 |
| $ | 1,796 |
| 437 |
| |
Earnings (loss) |
| $ | 180,046 |
| $ | 148,949 |
| $ | 70,258 |
| $ | (1,093 | ) |
|
|
|
|
|
|
|
|
|
| ||||
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends |
| 5.24 |
| 5.18 |
| 4.45 |
|
| (a) | ||||
(a) For the period from August 17, 2009 (commencement of operations) through December 31, 2009, our losses exceeded our fixed charges by approximately $1.1 million. The coverage deficiency for total fixed charges for this period was $3.0 million to arrive at a one-to-one ratio.
