EXHIBIT 12.1
CAMDEN PROPERTY TRUST
STATEMENT REGARDING COMPUTATION OF RATIOS
FOR THE FIVE YEARS ENDED DECEMBER 31
(in thousands, except for ratio amounts) | 2014 (1) | 2013 (2) | 2012 (3) | 2011 (4) | 2010 (5) | |||||||||||||||
EARNINGS BEFORE FIXED CHARGES: | ||||||||||||||||||||
Income from continuing operations before income taxes | $ | 303,217 | $ | 157,442 | $ | 162,634 | $ | 19,729 | $ | 3,754 | ||||||||||
Less: Equity in income (loss) of joint ventures | 7,023 | 24,865 | 20,175 | 5,679 | (839 | ) | ||||||||||||||
296,194 | 132,577 | 142,459 | 14,050 | 4,593 | ||||||||||||||||
Add: Distributed income of joint ventures | 7,399 | 8,884 | 6,321 | 5,329 | 6,524 | |||||||||||||||
Less: Interest capitalized | 21,796 | 15,439 | 12,457 | 8,764 | 5,687 | |||||||||||||||
Less: Preferred distribution of subsidiaries | — | — | 776 | 7,000 | 7,000 | |||||||||||||||
Total earnings (loss) before fixed charges | 281,797 | 126,022 | 135,547 | 3,615 | (1,570 | ) | ||||||||||||||
FIXED CHARGES: | ||||||||||||||||||||
Interest expense | 93,263 | 98,129 | 104,246 | 112,414 | 125,893 | |||||||||||||||
Interest capitalized | 21,796 | 15,439 | 12,457 | 8,764 | 5,687 | |||||||||||||||
Accretion of discount | 1,035 | 1,051 | 816 | 650 | 514 | |||||||||||||||
Loan amortization | 3,355 | 3,548 | 3,608 | 5,877 | 4,102 | |||||||||||||||
Interest portion of rental expense | 179 | 167 | 156 | 167 | 174 | |||||||||||||||
Preferred distribution of subsidiaries | — | — | 776 | 7,000 | 7,000 | |||||||||||||||
Total fixed charges | 119,628 | 118,334 | 122,059 | 134,872 | 143,370 | |||||||||||||||
Total earnings and fixed charges | $ | 401,425 | $ | 244,356 | $ | 257,606 | $ | 138,487 | $ | 141,800 | ||||||||||
RATIO OF EARNINGS TO FIXED CHARGES | 3.36 | 2.06 | 2.11 | 1.03 | 0.99 |
(1) | Earnings include a $159,289 impact related to a gain on sale of operating properties, including land, a $10,000 impact related to incentive compensation expense as a result of joint venture restructuring, and a $1,152 impact related to an impairment charge associated with land holdings. Excluding these impacts, the ratio would be 2.12. |
(2) | Earnings include a $1,000 impact related to non-recurring fee income and a $698 impact related to gain on sale of land. Excluding these impacts, the ratio would be 2.05. |
(3) | Earnings include a $57,418 impact related to a gain on acquisition of controlling interest in joint ventures. Excluding this impact, the ratio would be 1.64. |
(4) | Earnings include a $29,791 impact related to a loss on discontinuation of a hedging relationship, a $1,136 impact related to gain on sale of joint venture interests, a $3,316 impact related to a net gain on the sale of an available-for-sale investment, and a $4,748 impact related to gains on the sale of properties, including land. Excluding these impacts, the ratio would be 1.18. |
(5) | We would have needed to generate an additional $1,570 to achieve a ratio of 1.00 in 2010. Earnings include a $1,000 impact related to an impairment provision on a technology investment and a $236 impact related to a gain on the sale of land. These transactions did not have an impact on the ratio of 0.99. |
(in thousands, except for ratio amounts) | 2014 | 2013 | 2012 | 2011 | 2010 | |||||||||||||||
INTEREST COVERAGE RATIO | ||||||||||||||||||||
Total revenues | $ | 858,589 | $ | 810,048 | $ | 714,725 | $ | 620,796 | $ | 576,093 | ||||||||||
Total expenses | (720,532 | ) | (678,169 | ) | (629,684 | ) | (582,839 | ) | (570,736 | ) | ||||||||||
Income from discontinued operations | — | 8,515 | 17,406 | 17,831 | 19,355 | |||||||||||||||
Add: Depreciation and amortization | 238,989 | 217,943 | 198,281 | 171,363 | 160,368 | |||||||||||||||
Add: Depreciation of discontinued operations | — | 5,255 | 15,199 | 16,679 | 19,294 | |||||||||||||||
Add: Interest expense | 93,263 | 98,129 | 104,246 | 112,414 | 125,893 | |||||||||||||||
Add: Interest expense of discontinued operations | — | — | 36 | — | — | |||||||||||||||
Total | $ | 470,309 | $ | 461,721 | $ | 420,209 | $ | 356,244 | $ | 330,267 | ||||||||||
Total interest expense | $ | 93,263 | $ | 98,129 | $ | 104,282 | $ | 112,414 | $ | 125,893 | ||||||||||
INTEREST COVERAGE RATIO | 5.0 | 4.7 | 4.0 | 3.2 | 2.6 |