COMPUTATION OF RATIO OF EARNINGS OF PROLOGIS, INC.
Published on November 6, 2012
EXHIBIT 12.2
PROLOGIS, INC.
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED SHARE DIVIDENDS
(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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| Combined fixed charges and preferred share dividends: |
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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 | ||||||||||||||||||
| Preferred share dividends |
30,921 | 34,696 | 25,424 | 25,423 | 25,423 | 25,423 | ||||||||||||||||||
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| Combined fixed charges and preferred share dividends |
$ | 465,409 | $ | 566,661 | $ | 543,823 | $ | 496,553 | $ | 581,469 | $ | 540,059 | ||||||||||||
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| Ratio of earnings (loss), as adjusted, to combined fixed charges and preferred share dividends |
1.2 | (a | ) | (a | ) | (a | ) | (a | ) | 2.4 | ||||||||||||||
| (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 combined fixed charges and preferred share dividends exceeded our earnings (loss), as adjusted, by $317.0 million, $1.7 billion, $432.9 million and $387.4 million for 2011, 2010, 2009 and 2008, respectively. |