PUBLIC STORAGE
EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
For the Nine Months Ended
September 30,
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2009 2008
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Net income................................... $ 602,767 $ 811,838
Less: Income allocated to noncontrolling
interests in subsidiaries which do not
have fixed charges...................... (12,609) (13,326)
Less: Equity in earnings of investments... (39,033) (13,679)
Add: Cash distributions from investments.. 36,140 31,472
Less: Impact of discontinued operations... 7,759 4,937
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Adjusted net income.......................... 595,024 821,242
Interest expense.......................... 22,705 35,187
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Total earnings available to cover fixed charges $ 617,729 $ 856,429
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Total fixed charges - interest expense (a)... $ 23,252 $ 36,817
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Cumulative preferred share cash dividends.... $ 174,324 $ 180,999
Preferred partnership unit cash distributions 7,643 16,209
Allocations pursuant to EITF Topic D-42...... (78,218) -
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Total preferred distributions................ $ 103,749 $ 197,208
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Total combined fixed charges and preferred
share distributions........................ $ 127,001 $ 234,025
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Ratio of earnings to fixed charges........... 26.57x 23.26x
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Ratio of earnings to fixed charges and
preferred share distributions.............. 4.86x 3.66x
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For the Year Ended December 31,
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2008 2007 2006 2005 2004
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(Amounts in thousands)
Net income................................... $ 973,872 $ 487,078 $ 345,909 $ 489,044 $ 416,126
Less: Income allocated to noncontrolling
interests in subsidiaries which do not
have fixed charges...................... (17,668) (16,527) (16,014) (15,161) (17,099)
Less: Equity in earnings of investments... (20,391) (12,738) (11,895) (24,883) (22,564)
Add: Cash distributions from investments.. 43,455 23,606 17,699 23,112 20,961
Less: Impact of discontinued operations... 5,945 1,279 (2,975) (9,078) (3,324)
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Adjusted net income.......................... 985,213 482,698 332,724 463,034 394,100
Interest expense.......................... 43,944 63,671 33,062 8,216 760
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Total earnings available to cover fixed charges $ 1,029,157 $ 546,369 $ 365,786 $ 471,250 $ 394,860
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Total fixed charges - interest expense (a)... $ 45,942 $ 68,417 $ 35,778 $ 11,036 $ 4,377
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Cumulative preferred share cash dividends.... $ 239,721 $ 236,757 $ 214,218 $ 173,017 $ 157,925
Preferred partnership unit cash distributions 21,612 21,612 19,055 16,147 30,423
Allocations pursuant to EITF Topic D-42...... (33,851) - 31,493 8,412 10,787
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Total preferred distributions................ $ 227,482 $ 258,369 $ 264,766 $ 197,576 $ 199,135
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Total combined fixed charges and preferred
share distributions........................ $ 273,424 $ 326,786 $ 300,544 $ 208,612 $ 203,512
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Ratio of earnings to fixed charges........... 22.40x 7.99x 10.22x 42.70x 90.21x
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Ratio of earnings to fixed charges and
preferred share distributions.............. 3.76x 1.67x 1.22x 2.26x 1.94x
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(a) "Total fixed charges - interest expense" includes interest expense plus
capitalized interest, and includes $6,892,000 in interest expense
incurred by Shurgard Europe for the nine months ended September 30, 2008
As described in Note 3 to our September 30, 2009 condensed consolidated
financial statements, Shurgard Europe was deconsolidated as of March 31,
2008. No further interest expense for Shurgard Europe is reflected in our
financial statements after March 31, 2008.
Exhibit 12