Exhibit 12.1
APOLLO COMMERCIAL REAL ESTATE FINANCE, INC.
CALCULATION OF RATIO OF EARNINGS TO
COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS
(In thousands, except ratios)
(Unaudited)
| Three Months Ended March 31, 2012 |
Year Ended December 31, | Period from September 29, 2009 (Commencement of Operations) to December 31, 2009(1) | ||||||||||||||
| 2011 | 2010 | |||||||||||||||
Earnings | ||||||||||||||||
Net Income | $ | 9,093 | $ | 25,883 | $ | 10,999 | $ | (2,172 | ) | |||||||
Add: | ||||||||||||||||
Fixed charges | 3,108 | 16,095 | 13,934 | 358 | ||||||||||||
Amortization of Capitalized Interest | 736 | 1,455 | 1,173 | 2 | ||||||||||||
Subtract: | ||||||||||||||||
Interest Capitalized | — | (680 | ) | (3,736 | ) | (256 | ) | |||||||||
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Earnings (loss), as adjusted | $ | 12,937 | $ | 42,753 | $ | 22,370 | $ | (2,068 | ) | |||||||
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Fixed Charges | ||||||||||||||||
Interest - expensed | $ | 3,108 | $ | 15,416 | $ | 10,198 | 101 | |||||||||
Interest - capitalized | — | 680 | 3,736 | 256 | ||||||||||||
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Total fixed charges | $ | 3,108 | $ | 16,095 | $ | 13,934 | $ | 357 | ||||||||
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Preferred Dividends | — | — | — | — | ||||||||||||
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends | 4.16x | 2.66x | 1.61x | (5.79 | )x | |||||||||||
| (1) | The Company was formed on June 29, 2009 and completed the initial public offering of its common stock on September 29, 2009. |
APOLLO COMMERCIAL REAL ESTATE FINANCE, INC.
CALCULATION OF PRO FORMA RATIO OF EARNINGS TO
COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS
(In thousands, except ratios)
(Unaudited)
| Pro Forma for the Three Months Ended March 31, 2012 | Pro Forma for Year Ended December 31, 2011 | |||||||
Earnings | ||||||||
Net Income | $ | 9,093 | $ | 25,883 | ||||
Add: | ||||||||
Fixed charges | 4,361 | 21,105 | ||||||
Amortization of Capitalized Interest | 736 | 1,455 | ||||||
Subtract: | ||||||||
Interest Capitalized | — | (680 | ) | |||||
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Earnings (loss), as adjusted | $ | 14,190 | $ | 47,763 | ||||
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Fixed Charges | ||||||||
Interest - expensed | $ | 2,743 | $ | 13,956 | ||||
Interest - capitalized | — | 680 | ||||||
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Total fixed charges | $ | 2,743 | $ | 14,636 | ||||
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Preferred Dividends | $ | 1,617 | $ | 6,469 | ||||
Pro Forma Ratio of Earnings to Fixed Charges and Preferred Stock Dividends | 3.25x | 2.26x | ||||||
In calculating the pro forma ratio of earnings to combined fixed charges and preferred stock dividends, we have assumed that the shares of Series A Preferred Stock offered by this prospectus supplement were issued on the first day of the applicable period. For purposes of this pro forma calculation, we have assumed the repayment of all of outstanding borrowings under our $100 million master repurchase facility entered into with JPMorgan Chase Bank, N.A., or (approximately $53.0 million as of the date of the prospectus supplement) with the net proceeds from this offering; therefore, the pro forma ratio excludes the effect of the amount of the related interest expense for each applicable period.
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