National Retail Properties (NNN) 8-K Other Events

Exhibit 12.1

NATIONAL RETAIL PROPERTIES, INC. AND SUBSIDIARIES

EXHIBIT 12

COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

(dollars in thousands)

	June 2018 (A)		2017(A)		2016		2015		2014		2013
Pretax income from continuing operations before income from equity investees	$	173,873	$	265,371	$	239,506	$	208,386	$	191,289	$	155,631
Add:
Fixed charges (excluding capitalized interest)		53,714		108,930		96,168		89,973		85,514		85,912
Distributed income from equity investees		—		—		—		—		—		—
Pretax earnings from operations, as adjusted	$	227,587	$	374,301	$	335,674	$	298,359	$	276,803	$	241,543
Fixed Charges:
Interest on indebtedness	$	50,006	$	101,811	$	89,057	$	84,080	$	80,370	$	79,175
Capitalized interest		1,904		2,435		1,738		2,383		1,628		1,369
Amortization of net discount relating to indebtedness		879		1,702		1,246		1,100		1,238		3,188
Amortization of interest rate hedges		1,056		1,932		2,802		1,902		1,129		438
Amortization of deferred charges		1,773		3,485		3,063		2,891		2,777		3,111
Fixed charges	$	55,618	$	111,365	$	97,906	$	92,356	$	87,142	$	87,281
Ratio of net earnings to fixed charges		4.09		3.36		3.43		3.23		3.18		2.77
Fixed charges	$	55,618	$	111,365	$	97,906	$	92,356	$	87,142	$	87,281
Preferred stock dividends		17,164		37,925		38,623		35,434		35,434		27,923
Combined fixed charges and preferred stock dividends	$	72,782	$	149,290	$	136,529	$	127,790	$	122,576	$	115,204
Ratio of earnings to combined fixed charges and preferred stock dividends		3.13		2.51		2.46		2.33		2.26		2.10

^(A)  For the six months ended June 30, 2018 and the year ended December 31, 2017, excluding the effect of $521 and $7,845, respectively, in retirement severance costs, ratio of earnings to fixed charges would have been 4.10x and 3.43x, respectively and the ratio of earnings to combined fixed charges and preferred stock dividends would have been 3.13x and 2.56x, respectively. Retirement severance costs relate primarily to Craig Macnab's retirement as Chief Executive Officer on April 28, 2017.