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EXHIBIT 12
M.D.C. HOLDINGS, INC.
RATIO OF EARNINGS TO FIXED CHARGES
(dollars in thousands)
YEAR ENDED DECEMBER 31,
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2004 2003 2002 2001 2000
--------- --------- --------- --------- ---------
Earnings $ 675,748 $ 389,940 $ 301,072 $ 286,228 $ 232,034
--------- --------- --------- --------- ---------
Fixed Charges $ 43,011 $ 43,977 $ 27,453 $ 28,782 $ 30,844
Earnings to Fixed Charges 15.71 8.87 10.97 9.94 7.52
========= ========= ========= ========= =========
EARNINGS:
Pretax Earnings from Continuing Operations 636,914 348,223 274,044 255,387 203,201
Add:
Fixed Charges 43,011 43,977 27,453 28,782 30,844
Less capitalized interest (32,879 (26,779) (21,116) (22,498) (24,367)
Add amortization of previously capitalized interest 28,702 24,519 20,691 24,557 22,356
--------- --------- --------- --------- ---------
Total Earnings 675,748 389,940 301,072 286,228 232,034
========= ========= ========= ========= =========
FIXED CHARGES:
Homebuilding and corporate interest expense 0 0 0 0 0
Mortgage lending interest expense 1,946 1,967 1,822 2,666 3,115
Interest component of rent expense 5,462 3,897 2,812 2,253 2,177
Amortization and expensing of debt expenses (1) 2,724 11,334 1,703 1,365 1,185
Capitalized interest 32,879 26,779 21,116 22,498 24,367
--------- --------- --------- --------- ---------
Total Fixed Charges 43,011 43,977 27,453 28,782 30,844
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(1) 2003 includes $9,315 of expenses related to debt redemption.