EXHIBIT 12.1
CAMDEN PROPERTY TRUST
STATEMENT REGARDING COMPUTATION OF RATIOS
FOR THE FIVE YEARS ENDED DECEMBER 31
|
| | | | | | | | | | | | | | | | | | | | |
| (in thousands, except for ratio amounts) | | 2015 (1) | | 2014 (2) | | 2013 (3) | | 2012 (4) | | 2011 (5) |
| EARNINGS BEFORE FIXED CHARGES: | | | | | | | | | | |
| Income from continuing operations before income taxes | | $ | 260,134 |
| | $ | 303,217 |
| | $ | 157,442 |
| | $ | 162,634 |
| | $ | 19,729 |
|
| Less: Equity in income of joint ventures | | 6,168 |
| | 7,023 |
| | 24,865 |
| | 20,175 |
| | 5,679 |
|
| | | 253,966 |
| | 296,194 |
| | 132,577 |
| | 142,459 |
| | 14,050 |
|
| Add: Distributed income of joint ventures | | 6,387 |
| | 7,399 |
| | 8,884 |
| | 6,321 |
| | 5,329 |
|
| Less: Interest capitalized (6) | | 19,271 |
| | 22,185 |
| | 15,698 |
| | 12,649 |
| | 8,950 |
|
| Less: Preferred distribution of subsidiaries | | — |
| | — |
| | — |
| | 776 |
| | 7,000 |
|
| Total earnings before fixed charges | | 241,082 |
| | 281,408 |
| | 125,763 |
| | 135,355 |
| | 3,429 |
|
| FIXED CHARGES: | | | | | | | | | | |
| Interest expense (6) | | 97,312 |
| | 94,906 |
| | 99,784 |
| | 105,870 |
| | 114,394 |
|
| Interest capitalized (6) | | 19,271 |
| | 22,185 |
| | 15,698 |
| | 12,649 |
| | 8,950 |
|
| Accretion of discount | | 1,080 |
| | 1,035 |
| | 1,051 |
| | 816 |
| | 650 |
|
| Interest portion of rental expense | | 202 |
| | 179 |
| | 167 |
| | 156 |
| | 167 |
|
| Preferred distribution of subsidiaries | | — |
| | — |
| | — |
| | 776 |
| | 7,000 |
|
| Total fixed charges | | 117,865 |
| | 118,305 |
| | 116,700 |
| | 120,267 |
| | 131,161 |
|
| Total earnings and fixed charges | | $ | 358,947 |
| | $ | 399,713 |
| | $ | 242,463 |
| | $ | 255,622 |
| | $ | 134,590 |
|
| RATIO OF EARNINGS TO FIXED CHARGES | | 3.05 |
| | 3.38 |
| | 2.08 |
| | 2.13 |
| | 1.03 |
|
| |
| (1) | Earnings include a $104,288 impact related to a gain on sale of operating properties, including land. Excluding this impact, the ratio would be 2.16. |
| |
| (2) | 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 2.13. |
| |
| (3) | 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 2.06. |
| |
| (4) | 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 1.65. |
| |
| (5) | 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. |
| |
| (6) | All periods presented have been changed to reflect our adoption of Accounting Standards Update 2015-03 (“ASU 2015-03”), “Simplifying the Presentation of Debt Issuance Costs” (as supplemented by Accounting Standards Update 2015-15 [“ASU 2015-15”], “Presentation and Subsequent Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements”) at December 31, 2015, which required retrospective application. |
|
| | | | | | | | | | | | | | | | | | | | |
| | | | | | | | | | | |
| (in thousands, except for ratio amounts) | | 2015 | | 2014 | | 2013 | | 2012 | | 2011 |
| INTEREST COVERAGE RATIO | | | | | | | | | | |
| Total revenues | | $ | 900,260 |
| | $ | 858,589 |
| | $ | 810,048 |
| | $ | 714,725 |
| | $ | 620,796 |
|
| Total expenses | | (750,582 | ) | | (720,532 | ) | | (678,169 | ) | | (629,684 | ) | | (582,839 | ) |
| Income from discontinued operations | | — |
| | — |
| | 8,515 |
| | 17,406 |
| | 17,831 |
|
| Add: Depreciation and amortization | | 257,082 |
| | 237,346 |
| | 216,288 |
| | 196,657 |
| | 169,383 |
|
| Add: Depreciation of discontinued operations | | — |
| | — |
| | 5,255 |
| | 15,199 |
| | 16,679 |
|
| Add: Interest expense (1) | | 97,312 |
| | 94,906 |
| | 99,784 |
| | 105,870 |
| | 114,394 |
|
| Add: Interest expense of discontinued operations | | — |
| | — |
| | — |
| | 36 |
| | — |
|
| Total | | $ | 504,072 |
| | $ | 470,309 |
| | $ | 461,721 |
| | $ | 420,209 |
| | $ | 356,244 |
|
| Total interest expense (1) | | $ | 97,312 |
| | $ | 94,906 |
| | $ | 99,784 |
| | $ | 105,906 |
| | $ | 114,394 |
|
| INTEREST COVERAGE RATIO | | 5.2 |
| | 5.0 |
| | 4.6 |
| | 4.0 |
| | 3.1 |
|
| |
| (1) | All periods presented have been changed to reflect our adoption of ASU 2015-03 (as supplemented by ASU 2015-15) at December 31, 2015, which required retrospective application. |
