Exhibit 12
M.D.C. HOLDINGS, INC.
RATIO OF (LOSS) EARNINGS TO FIXED CHARGES
Year Ended December 31, | ||||||||||||||||||||
(dollars in 000’s) | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||||
Earnings | ($ | 688,767 | ) | $ | 405,396 | $ | 858,443 | $ | 675,748 | $ | 389,940 | |||||||||
Fixed Charges | $ | 70,529 | $ | 80,915 | $ | 67,459 | $ | 43,011 | $ | 43,977 | ||||||||||
(Loss) Earnings to Fixed Charges | (9.77 | ) | 5.01 | 12.73 | 15.71 | 8.87 | ||||||||||||||
(Loss) Earnings: | ||||||||||||||||||||
Pretax (Loss) Earnings from Continuing Operations | (756,464 | ) | 333,137 | 808,763 | 636,914 | 348,223 | ||||||||||||||
Add: Fixed Charges | 70,529 | 80,915 | 67,459 | 43,011 | 43,977 | |||||||||||||||
Less: Capitalized Interest | (57,791 | ) | (58,141 | ) | (51,872 | ) | (32,879 | ) | (26,779 | ) | ||||||||||
Add: Amortization of Previously Capitalized Interest | 54,959 | 49,485 | 34,093 | 28,702 | 24,519 | |||||||||||||||
Total (Loss) Earnings | (688,767 | ) | 405,396 | 858,443 | 675,748 | 389,940 | ||||||||||||||
Fixed Charges: | ||||||||||||||||||||
Homebuilding and corporate interest expense | 0 | 0 | 0 | 0 | 0 | |||||||||||||||
Mortgage lending interest expense | 1,581 | 8,816 | 3,850 | 1,946 | 1,967 | |||||||||||||||
Interest component of rent expense | 7,109 | 9,852 | 7,369 | 5,462 | 3,897 | |||||||||||||||
Amortization and expensing of debt expenses (1) | 4,048 | 4,106 | 4,368 | 2,724 | 11,334 | |||||||||||||||
Capitalized interest | 57,791 | 58,141 | 51,872 | 32,879 | 26,779 | |||||||||||||||
Total Fixed Charges | 70,529 | 80,915 | 67,459 | 43,011 | 43,977 | |||||||||||||||
(1) | 2003 includes $9,315 of expenses related to debt redemption. |