PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Six Months Ended
June 30,
-------------------------
2003 2002
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Net income........................................... $ 160,936 $ 168,173
Add: Minority interest in income............... 21,438 21,955
Less: Minority interests in income which do not
have fixed charges........................... (6,444) (5,492)
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Income from continuing operations.................... 175,930 184,636
Interest expense................................ 825 2,315
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Total earnings available to cover fixed charges...... $176,7455 $ 186,951
========== ==========
Total fixed charges - interest expense (including
capitalized interest)............................. $ 3,800 $ 5,587
========== ==========
Cumulative Preferred Stock dividends................. $ 72,721 $ 73,776
Preferred partnership unit distributions............. 13,453 13,453
---------- ----------
Total preferred distributions........................ $ 86,174 $ 87,229
========== ==========
Total combined fixed charges and preferred distributions $ 89,974 $ 92,816
========== ==========
Ratio of earnings to fixed charges.................. 46.51x 33.46x
========== ==========
Ratio of earnings to combined fixed charges and
preferred distributions........................... 1.96x 2.01x
========== ==========
For the Year Ended December 31,
--------------------------------------------------------------------------
2002 2001 2000 1999 1998
---------- --------- ---------- ---------- ----------
(amounts in thousands, except ratios)
Net income........................................... $ 318,738 $ 324,208 $ 297,088 $ 287,885 $ 227,019
Add: Minority interest in income............... 44,087 46,015 38,356 16,006 20,290
Less: Minority interests in income which do not
have fixed charges........................... (14,307) (11,243) (10,549) (13,362) (15,853)
---------- --------- ---------- ---------- ----------
Income from continuing operations.................... 348,518 358,980 324,895 290,529 231,456
Interest expense................................ 3,809 3,227 3,293 7,971 4,507
---------- --------- ---------- ---------- ----------
Total earnings available to cover fixed charges...... $ 352,327 $ 362,207 $ 328,188 $ 298,500 $ 235,963
========== ========= ========== ========== ==========
Total fixed charges - interest expense (including
capitalized interest)............................. $ 10,322 $ 12,219 $ 13,071 $ 12,480 $ 7,988
========== ========= ========== ========== ==========
Cumulative Preferred Stock dividends................. $ 148,926 $ 117,979 $ 100,138 $ 94,793 $ 78,375
Preferred partnership unit distributions............. 26,906 31,737 24,859 - -
---------- --------- ---------- ---------- ----------
Total preferred distributions........................ $ 175,832 $ 149,716 $ 124,997 $ 94,793 $ 78,375
========== ========= ========== ========== ==========
Total combined fixed charges and preferred distributions $ 186,154 $ 161,935 $ 138,068 $ 107,273 $ 86,363
========== ========= ========== ========== ==========
Ratio of earnings to fixed charges.................. 34.13x 29.64x 25.11x 23.92x 29.54x
========== ========= ========== ========== ==========
Ratio of earnings to combined fixed charges and
preferred distributions........................... 1.89x 2.24x 2.38x 2.78x 2.73x
========== ========= ========== ========== ==========
Exhibit 12
PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Six Months Ended
June 30,
-------------------------
2003 2002
---------- ----------
Supplemental Disclosure of Ratio of Earnings Before Interest, Taxes,
Depreciation and Amortization ("EBITDA") to Fixed Charges (a):
Net income........................................... $ 160,936 $ 168,173
Less: (Gain)/Loss on sale of real estate and real
estate investments........................... (463) (402)
Add: Depreciation and amortization............. 92,194 88,837
Less: Depreciation allocable to minority interests (3,233) (4,538)
Add: Depreciation included in equity in earnings
of real estate entities...................... 13,138 12,896
Add: Depreciation and amortization included in
discontinued operations...................... 282 1,212
Add: Minority interest - preferred............. 13,453 13,453
Add: Interest expense.......................... 825 2,315
---------- ----------
EBITDA available to cover fixed charges.............. $ 277,132 $ 281,946
========== ==========
Total fixed charges - interest expense (including
capitalized interest)............................. $ 3,800 $ 5,587
Cumulative Preferred Stock dividends................. $ 72,721 $ 73,776
Preferred partnership unit distributions............. 13,453 13,453
---------- ----------
Total preferred distributions........................ $ 86,174 $ 87,229
========== ==========
Total combined fixed charges and preferred distributions $ 89,974 $ 92,816
========== ==========
Ratio of EBITDA to fixed charges.................... 72.92x 50.46x
========== ==========
Ratio of EBITDA to combined fixed charges and preferred
distributions..................................... 3.08x 3.04x
========== ==========
For the Year Ended December 31,
-----------------------------------------------------------------------
2002 2001 2000 1999 1998
---------- ----------- ----------- ---------- -----------
(amounts in thousands, except ratios)
Supplemental Disclosure of Ratio of Earnings Before Interest,
Depreciation and Amortization ("EBITDA") to Fixed Charges (a):
Net income........................................... $ 318,738 $ 324,208 $ 297,088 $ 287,885 $ 227,019
Less: (Gain)/Loss on sale of real estate and real
estate investments........................... 2,541 (4,091) (3,786) (2,154) -
Add: Depreciation and amortization............. 179,144 165,636 147,778 136,969 111,444
Less: Depreciation allocable to minority interests (8,087) (7,847) (7,138) (9,294) (12,022)
Add: Depreciation included in equity in earnings
of real estate entities...................... 27,078 25,096 21,825 19,721 13,884
Add: Depreciation and amortization included in
discontinued operations...................... 2,504 2,425 1,189 750 355
Add: Minority interest - preferred............. 26,906 31,737 24,859 - -
Add: Interest expense.......................... 3,809 3,227 3,293 7,971 4,507
---------- ----------- ----------- ---------- -----------
EBITDA available to cover fixed charges.............. $ 552,633 $ 540,391 $ 485,108 $ 441,848 $ 345,187
========== =========== =========== ========== ===========
Total fixed charges - interest expense (including
capitalized interest)............................. $ 10,322 $ 12,219 $ 13,071 $ 12,480 $ 7,988
Cumulative Preferred Stock dividends................. $ 148,926 $ 117,979 $ 100,138 $ 94,793 $ 78,375
Preferred partnership unit distributions............. 26,906 31,737 24,859 - -
---------- ----------- ----------- ---------- -----------
Total preferred distributions........................ $ 175,832 $ 149,716 $ 124,997 $ 94,793 $ 78,375
========== =========== =========== ========== ===========
Total combined fixed charges and preferred distributions $ 186,154 $ 161,935 $ 138,068 $ 107,273 $ 86,363
========== =========== =========== ========== ===========
Ratio of EBITDA to fixed charges.................... 53.54x 44.23x 37.11x 35.40x 43.21x
========== =========== =========== ========== ===========
Ratio of EBITDA to combined fixed charges and preferred
distributions..................................... 2.97x 3.34x 3.51x 4.12x 4.00x
========== =========== =========== ========== ===========
(a) EBITDA represents earnings prior to interest, taxes, depreciation,
amortization and gains on sale of real estate assets. This supplemental
disclosure of EBITDA is included because financial analysts and other members of
the investment community consider coverage ratios for real estate companies on a
pre-depreciation basis.
Exhibit 12