Exhibit 12.1
Lennar Corporation
Statement of Computation of Ratio of Earnings to Fixed Charges
(Dollars in thousands)
| Years ended Nov. 30, | ||||||||||||||||||||
| 2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Pre-tax earnings | $ | 1,209,616 | 969,784 | 681,941 | 222,114 | 97,974 | ||||||||||||||
Adjustments to pretax earnings : | ||||||||||||||||||||
Fixed Charges | 364,844 | 335,358 | 298,101 | 255,304 | 232,709 | |||||||||||||||
Interest capitalized | (276,062 | ) | (236,897 | ) | (167,590 | ) | (127,668 | ) | (110,751 | ) | ||||||||||
Adjustments for earnings and losses of unconsolidated entities 50% or less owned entities | (44,431 | ) | (51,125 | ) | (41,856 | ) | 4,597 | 87,338 | ||||||||||||
Previously capitalized interest amortized | 207,693 | 164,987 | 120,343 | 87,032 | 72,320 | |||||||||||||||
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“Earnings” | $ | 1,461,660 | 1,182,107 | 890,939 | 441,379 | 379,590 | ||||||||||||||
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Fixed Charges: | ||||||||||||||||||||
Interest incurred | $ | 346,224 | 319,067 | 284,144 | 242,389 | 219,383 | ||||||||||||||
Interest component of rent expense (1) | 18,620 | 16,291 | 13,957 | 12,915 | 13,326 | |||||||||||||||
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“Fixed Charges” | $ | 364,844 | 335,358 | 298,101 | 255,304 | 232,709 | ||||||||||||||
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Ratio of Earnings to Fixed Charges | 4.0 | 3.5 | 3.0 | 1.7 | 1.6 | |||||||||||||||
Excess (deficiency) of earnings to fixed charges | $ | 1,096,816 | 846,749 | 592,838 | 186,075 | 146,881 | ||||||||||||||
| (1) | Represents a reasonable approximation of the interest cost component of rental expense (one-third of rental expenses on operating leases) incurred by the Company. The purpose is to estimate the amount of interest paid due to operating the majority of the Company’s facilities under operating leases. |