PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Nine Months Ended
September 30,
---------------------------
2005 2004
------------ ------------
(amounts in thousands, except ratios)
Net income........................................... $ 333,021 $ 258,942
Add: Minority interest in income............... 26,355 39,898
Less: Minority interests in income which do not
have fixed charges........................... (12,575) (12,681)
Less: Equity in earnings of investments...... (20,382) (11,646)
Add: Cash distributions from investments.... 17,015 15,863
Less: Impact of Discontinued Operations..... (6,377) 1,518
------------ ------------
Adjusted net income.................................. 337,057 291,894
Interest expense................................ 5,928 100
------------ ------------
Total earnings available to cover fixed charges...... $ 342,985 $ 291,994
============ ============
Total fixed charges - interest expense (including
capitalized interest)............................. $ 7,982 $ 2,822
============ ============
Cumulative Preferred Stock dividends................. $ 126,286 $ 117,293
Preferred partnership unit distributions............. 12,556 24,907
------------ ------------
Total preferred distributions, prior to EITF Topic D-42 138,842 142,200
Allocations pursuant to EITF Topic D-42 2,778 8,858
------------ ------------
Total preferred distributions, including EITF Topic D-42 $ 141,620 $ 151,058
============ ============
Total combined fixed charges and preferred
distributions, prior to EITF Topic D-42.............. $ 146,824 $ 145,022
============ ============
Total combined fixed charges and preferred
distributions, including EITF Topic D-42............. $ 149,602 $ 153,880
============ ============
Ratio of earnings to fixed charges.................. 42.97x 103.47x
============ ============
Ratio of earnings to combined fixed charges and
preferred distributions, prior to EITF Topic D-42. 2.34x 2.01x
============ ============
Ratio of earnings to combined fixed charges and
preferred distributions, including EITF Topic D-42 2.29x 1.90x
============ ============
PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
For the Year Ended December 31,
-----------------------------------------------------------------------
2004 2003 2002 2001 2000
----------- ------------ ----------- ------------ -------------
(amounts in thousands, except ratios)
Net income........................................... $ 366,213 $ 336,653 $ 318,738 $ 324,208 $ 297,088
Add: Minority interest in income............... 49,913 43,703 44,087 46,015 38,356
Less: Minority interests in income which do not
have fixed charges........................... (17,099) (13,610) (14,307) (11,243) (10,549)
Less: Equity in earnings of investments...... (22,564) (24,966) (29,888) (38,542) (39,319)
Add: Cash distributions from investments.... 20,961 17,754 19,496 24,124 16,984
Less: Impact of Discontinued Operations..... 1,555 (3,149) 11,808 1,632 1,450
----------- ------------ ----------- ------------ -------------
Adjusted net income.................................. 398,979 356,385 349,934 346,194 304,010
Interest expense................................ 760 1,121 3,809 3,227 3,293
----------- ------------ ----------- ------------ -------------
Total earnings available to cover fixed charges...... $ 399,739 $ 357,506 $ 353,743 $ 349,421 $ 307,303
=========== ============ =========== ============ =============
Total fixed charges - interest expense (including
capitalized interest)............................. $ 4,377 $ 7,131 $ 10,322 $ 12,219 $ 13,071
=========== ============ =========== ============ =============
Cumulative Preferred Stock dividends................. $ 157,925 $ 146,196 $ 148,926 $ 117,979 $ 100,138
Preferred partnership unit distributions............. 30,423 26,906 26,906 31,737 24,859
----------- ------------ ----------- ------------ -------------
Total preferred distributions, prior to EITF Topic D-42 188,348 173,102 175,832 149,716 124,997
Allocations pursuant to EITF Topic D-42 10,787 7,120 6,888 14,835 -
----------- ------------ ----------- ------------ -------------
Total preferred distributions, including EITF Topic D-42 $ 199,135 $ 180,222 $ 182,720 $ 164,551 $ 124,997
=========== ============ =========== ============ =============
Total combined fixed charges and preferred
distributions, prior to EITF Topic D-42.............. $ 192,725 $ 180,233 $ 186,154 $ 161,935 $ 138,068
=========== ============ =========== ============ =============
Total combined fixed charges and preferred
distributions, including EITF Topic D-42............. $ 203,512 $ 187,353 $ 193,042 $ 176,770 $ 138,068
=========== ============ =========== ============ =============
Ratio of earnings to fixed charges.................. 91.33x 50.13x 34.27x 28.60x 23.51x
=========== ============ =========== ============ =============
Ratio of earnings to combined fixed charges and
preferred distributions, prior to EITF Topic D-42. 2.07x 1.98x 1.90x 2.16x 2.23x
=========== ============ =========== ============ =============
Ratio of earnings to combined fixed charges and
preferred distributions, including EITF Topic D-42 1.96x 1.91x 1.83x 1.98x 2.23x
=========== ============ =========== ============ =============
Exhibit 12
PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
SUPPLEMENTAL DISCLOSURE OF RATIO OF EARNINGS BEFORE INTEREST, TAXES,
DEPRECIATION AND AMORTIZATION ("EBITDA") TO FIXED CHARGES (A):
Nine Months Ended
September 30,
-------------------------
2005 2004
------------ -----------
(amounts in thousands, except ratios)
Net income........................................................... $ 333,021 $ 258,942
Less: (Gain)/Loss on sale of real estate, impairment of real
estate assets and real estate investments including
discontinued operations...................................... (5,091) (1,286)
Less: Our equity share of EITF D-42 charges, impairment
(gain)/loss on sale of real estate........................... (7,033) 2,109
Add: Depreciation and amortization (including discontinued
operations).................................................. 144,224 136,620
Less: Depreciation allocable to minority interests............. (3,146) (4,851)
Add: Depreciation included in equity in earnings of real estate
entities..................................................... 26,265 25,055
Add: Minority interest - preferred............................. 13,430 26,970
Add: Interest expense.......................................... 5,928 100
------------ -----------
EBITDA available to cover fixed charges.............................. $ 507,598 $443,659
============ ===========
Total fixed charges - interest expense (including capitalized
interest)......................................................... $ 7,982 $ 2,822
============ ===========
Cumulative Preferred Stock dividends................................. $ 126,286 $ 117,293
Preferred partnership unit distributions............................. 12,556 24,907
------------ -----------
Total preferred distributions, prior to EITF Topic D-42.............. 138,842 142,200
Allocations pursuant to EITF Topic D-42......................... 2,778 8,858
------------ -----------
Total preferred distributions, including EITF Topic D-42............. $ 141,620 $ 151,058
============ ===========
Total combined fixed charges and preferred distributions, prior to
EITF Topic D-42...................................................... $ 146,824 $ 145,022
============ ===========
Total combined fixed charges and preferred distributions, including
EITF Topic D-42...................................................... $ 149,602 $ 153,880
============ ===========
Ratio of earnings to fixed charges.................................. 63.59x 157.21x
============ ===========
Ratio of earnings to combined fixed charges and preferred
distributions, prior to EITF Topic D-42........................... 3.46x 3.06x
============ ===========
Ratio of earnings to combined fixed charges and preferred
distributions, including EITF Topic D-42.......................... 3.39x 2.88x
============ ===========
PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
SUPPLEMENTAL DISCLOSURE OF RATIO OF EARNINGS BEFORE INTEREST, TAXES,
DEPRECIATION AND AMORTIZATION ("EBITDA") TO FIXED CHARGES (A):
For the Year Ended December 31,
-----------------------------------------------------------
2004 2003 2002 2001 2000
------------ ----------- ----------- ----------- ---------
(amounts in thousands, except ratios)
Net income........................................................... $ 366,213 $ 336,653 $ 318,738 $ 324,208 $297,088
Less: (Gain)/Loss on sale of real estate, impairment of real
estate assets and real estate investments including
discontinued operations...................................... (2,288) (5,378) 2,541 (4,091) (576)
Less: Our equity share of EITF D-42 charges, impairment
(gain)/loss on sale of real estate........................... (4,544) (187) (3,737) - (3,210)
Add: Depreciation and amortization (including discontinued
operations).................................................. 184,345 188,003 181,648 168,061 148,967
Less: Depreciation allocable to minority interests............. (6,046) (6,328) (8,087) (7,847) (7,138)
Add: Depreciation included in equity in earnings of real estate
entities..................................................... 33,720 27,753 27,078 25,096 21,825
Add: Minority interest - preferred............................. 32,486 26,906 26,906 31,737 24,859
Add: Interest expense.......................................... 760 1,121 3,809 3,227 3,293
------------ ----------- ----------- ----------- ---------
EBITDA available to cover fixed charges.............................. $ 604,646 $ 568,543 $ 548,896 $ 540,391 $485,108
============ =========== =========== =========== =========
Total fixed charges - interest expense (including capitalized
interest)......................................................... $ 4,377 $ 7,131 $ 10,322 $ 12,219 $ 13,071
============ =========== =========== =========== =========
Cumulative Preferred Stock dividends................................. $ 157,925 $ 146,196 $ 148,926 $ 117,979 $100,138
Preferred partnership unit distributions............................. 30,423 26,906 26,906 31,737 24,859
------------ ----------- ----------- ----------- ---------
Total preferred distributions, prior to EITF Topic D-42.............. 188,348 173,102 175,832 149,716 124,997
Allocations pursuant to EITF Topic D-42......................... 10,787 7,120 6,888 14,835 -
------------ ----------- ----------- ----------- ---------
Total preferred distributions, including EITF Topic D-42............. $ 199,135 $ 180,222 $ 182,720 $ 164,551 $124,997
============ =========== =========== =========== =========
Total combined fixed charges and preferred distributions, prior to
EITF Topic D-42...................................................... $ 192,725 $ 180,233 $ 186,154 $ 161,935 $138,068
============ =========== =========== =========== =========
Total combined fixed charges and preferred distributions, including
EITF Topic D-42...................................................... $ 203,512 $ 187,353 $ 193,042 $ 176,770 $138,068
============ =========== =========== =========== =========
Ratio of earnings to fixed charges.................................. 138.14x 79.73x 53.18x 44.23x 37.11x
============ =========== =========== =========== =========
Ratio of earnings to combined fixed charges and preferred
distributions, prior to EITF Topic D-42........................... 3.14x 3.15x 2.95x 3.34x 3.51x
============ =========== =========== =========== =========
Ratio of earnings to combined fixed charges and preferred
distributions, including EITF Topic D-42.......................... 2.97x 3.03x 2.84x 3.06x 3.51x
============ =========== =========== =========== =========
(a) EBITDA represents earnings prior to interest, taxes, depreciation,
amortization, gains on sale of real estate assets and the impact of the
application of EITF Topic D-42. 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