COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES OF PROLOGIS, INC.
Published on November 6, 2012
EXHIBIT 12.1
PROLOGIS, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Dollar amounts in thousands)
| Nine Months Ended |
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| September 30, | Year Ended December 31, | |||||||||||||||||||||||
| 2012 | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||
| Earnings (loss) from continuing operations |
$ | 175,314 | $ | (244,459 | ) | $ | (1,589,462 | ) | $ | (355,089 | ) | $ | (367,062 | ) | $ | 841,022 | ||||||||
| Add (Deduct): |
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| Fixed charges |
434,488 | 531,965 | 518,399 | 471,130 | 556,046 | 514,636 | ||||||||||||||||||
| Capitalized interest |
(40,054 | ) | (52,651 | ) | (53,661 | ) | (94,205 | ) | (168,782 | ) | (123,880 | ) | ||||||||||||
| Loss (earnings) from unconsolidated entities, net |
(20,447 | ) | (59,935 | ) | (23,678 | ) | (28,059 | ) | 55,774 | (99,026 | ) | |||||||||||||
| Distributed income from equity entities |
27,644 | 72,976 | 27,404 | 63,885 | 50,042 | 98,134 | ||||||||||||||||||
| Income tax expense (benefit) |
216 | 1,776 | (30,499 | ) | 5,975 | 68,011 | 66,855 | |||||||||||||||||
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| Earnings (loss), as adjusted |
$ | 577,161 | $ | 249,672 | $ | (1,151,497 | ) | $ | 63,637 | $ | 194,029 | $ | 1,297,741 | |||||||||||
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| Fixed charges: |
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| Interest expense |
$ | 384,489 | $ | 468,738 | $ | 461,166 | $ | 372,768 | $ | 383,781 | $ | 387,910 | ||||||||||||
| Capitalized interest |
40,054 | 52,651 | 53,661 | 94,205 | 168,782 | 123,880 | ||||||||||||||||||
| Portion of rents representative of the interest factor |
9,945 | 10,576 | 3,572 | 4,157 | 3,483 | 2,846 | ||||||||||||||||||
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| Total fixed charges |
$ | 434,488 | $ | 531,965 | $ | 518,399 | $ | 471,130 | $ | 556,046 | $ | 514,636 | ||||||||||||
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| Ratio of earnings (loss), as adjusted, to fixed charges |
1.3 | (a | ) | (a | ) | (a | ) | (a | ) | 2.5 | ||||||||||||||
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| (a) | The loss from continuing operations for 2011, 2010, 2009 and 2008 includes impairment charges of $147.7 million, $1.1 billion, $495.2 million, and $595.3 million, respectively, that are discussed in our Annual Report on Form 10-K. Our fixed charges exceed our earnings (loss), as adjusted, by $282.3 million, $1.7 billion, $407.5 million and $362.0 million for 2011, 2010, 2009 and 2008, respectively. |