PUBLIC STORAGE, INC.
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
For the Nine Months Ended
September 30,
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2006 2005
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(Amounts in thousands)
Net income................................... $ 324,259 $ 333,021
Add: Minority interest in income.......... 24,477 26,355
Less: Minority interest in income which do
not have fixed charges.................. (11,627) (12,575)
Less: Equity in earnings of investments... (9,208) (20,382)
Add: Cash distributions from investments.. 15,049 17,015
Less: Impact of discontinued operations... (2,404) (6,536)
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Adjusted net income.......................... 340,546 336,898
Interest expense.......................... 12,752 5,928
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Total earnings available to cover fixed charges $ 353,298 $ 342,826
================ ==============
Total fixed charges - interest expense (a)... $ 14,351 $ 7,982
================ ==============
Cumulative preferred stock dividends......... $ 159,256 $ 126,286
Preferred partnership unit distributions..... 13,652 12,556
Allocations pursuant to EITF Topic D-42...... 21,643 2,778
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Total preferred distributions................ $ 194,551 $ 141,620
================ ==============
Total combined fixed charges and preferred
stock distributions........................ $ 208,902 $ 149,602
================ ==============
Ratio of earnings to fixed charges........... 24.62x 42.95x
================ ==============
Ratio of earnings to combined fixed charges.. 1.69x 2.29x
================ ==============
For the Year Ended December 31,
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2005 2004 2003 2002 2001
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(Amounts in thousands)
Net income................................... $ 456,393 $ 366,213 $ 336,653 $ 318,738 $ 324,208
Add: Minority interest in income.......... 32,651 49,913 43,703 44,087 46,015
Less: Minority interest in income which do
not have fixed charges.................. (15,161) (17,099) (13,610) (14,307) (11,243)
Less: Equity in earnings of investments... (24,883) (22,564) (24,966) (29,888) (38,542)
Add: Cash distributions from investments.. 23,112 20,961 17,754 19,496 24,124
Less: Impact of discontinued operations... (6,590) 707 (4,094) 11,593 1,372
------------- -------------- ------------ ----------- ------------
Adjusted net income.......................... 465,522 398,131 355,440 349,719 345,934
Interest expense.......................... 8,216 760 1,121 3,809 3,227
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Total earnings available to cover fixed charges $ 473,738 $ 398,891 $ 356,561 $ 353,528 $ 349,161
============= ============== ============ =========== ============
Total fixed charges - interest expense (a)... $ 11,036 $ 4,377 $ 7,131 $ 10,322 $ 12,219
============= ============== ============ =========== ============
Cumulative preferred stock dividends......... $ 173,017 $ 157,925 $ 146,196 $ 148,926 $ 117,979
Preferred partnership unit distributions..... 16,147 30,423 26,906 26,906 31,737
Allocations pursuant to EITF Topic D-42...... 8,412 10,787 7,120 6,888 14,835
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Total preferred distributions................ $ 197,576 $ 199,135 $ 180,222 $ 182,720 $ 164,551
============= ============== ============ =========== ============
Total combined fixed charges and preferred
stock distributions........................ $ 208,612 $ 203,512 $ 187,353 $ 193,042 $ 176,770
============= ============== ============ =========== ============
Ratio of earnings to fixed charges........... 42.93x 91.13x 50.00x 34.25x 28.58x
============= ============== ============ =========== ============
Ratio of earnings to combined fixed charges.. 2.27x 1.96x 1.90x 1.83x 1.98x
============= ============== ============ =========== ============
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):
For the Nine Months Ended
September 30,
----------------------------
2006 2005
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Net Income................................... $ 324,259 $ 333,021
Add - Depreciation and amortization (including
discontinued operations)..................... 212,256 144,224
Less - Depreciation allocated to minority
interests.................................... (1,631) (3,146)
Add - Depreciation included in equity in
earnings of real estate entities........... 28,751 26,265
Add - Minority interest - preferred ......... 13,652 13,430
Add - Interest expense ...................... 12,752 5,928
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EBITDA available to cover fixed charges (b).. $ 590,039 $ 519,722
============= =============
Total fixed charges - interest expense (a)... $ 14,351 $ 7,982
============= =============
Preferred stock dividends.................... $ 159,256 $ 126,286
Preferred partnership unit distributions..... 13,652 12,556
Allocations pursuant to EITF Topic D-42... 21,643 2,778
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Total preferred distributions................ $ 194,551 $ 141,620
============= =============
Total combined fixed charges and preferred
stock distributions........................ $ 208,902 $ 149,602
============= =============
Ratio of EBITDA to fixed charges............. 41.11x 65.11x
============= =============
Ratio of EBITDA to combined fixed charges and
preferred stock distributions.............. 2.82x 3.47x
============= =============
Supplemental Disclosure of Ratio of Earnings Before Interest, Taxes,
Depreciation and Amortization ("EBITDA") to Fixed Charges (a):
For the Year Ended December 31,
-------------------------------------------------------------------------
2005 2004 2003 2002 2001
------------ ------------- ------------ ------------ -----------
(Amounts in thousands)
Net Income................................... $ 456,393 $ 366,213 $ 336,653 $ 318,738 $ 324,208
Add - Depreciation and amortization (including
discontinued operations)..................... 196,485 184,345 188,003 181,648 168,061
Less - Depreciation allocated to minority
interests.................................... (3,403) (6,046) (6,328) (8,087) (7,847)
Add - Depreciation included in equity in
earnings of real estate entities........... 35,425 33,720 27,753 27,078 25,096
Add - Minority interest - preferred ......... 17,021 32,486 26,906 26,906 31,737
Add - Interest expense ...................... 8,216 760 1,121 3,809 3,227
------------ ------------- ------------ ------------ -----------
EBITDA available to cover fixed charges (b).. $ 710,137 $ 611,478 $ 574,108 $ 550,092 $ 544,482
============ ============= ============ ============ ===========
Total fixed charges - interest expense (a)... $ 11,036 $ 4,377 $ 7,131 $ 10,322 $ 12,219
============ ============= ============ ============ ===========
Preferred stock dividends.................... $ 173,017 $ 157,925 $146,196 $148,926 $ 117,979
Preferred partnership unit distributions..... 16,147 30,423 26,906 26,906 31,737
Allocations pursuant to EITF Topic D-42... 8,412 10,787 7,120 6,888 14,835
------------ ------------- ------------ ------------ -----------
Total preferred distributions................ $ 197,576 $ 199,135 $ 180,222 $ 182,720 $ 164,551
============ ============= ============ ============ ===========
Total combined fixed charges and preferred
stock distributions........................ $ 208,612 $ 203,512 $ 187,353 $ 193,042 $ 176,770
============ ============= ============ ============ ===========
Ratio of EBITDA to fixed charges............. 64.35x 139.70x 80.51x 53.29x 44.56x
============ ============= ============ ============ ===========
Ratio of EBITDA to combined fixed charges and
preferred stock distributions.............. 3.40x 3.00x 3.06x 2.85x 3.08x
============ ============= ============ ============ ===========
(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