EX-12.1 3 exhibit-121x6302018.htm EXHIBIT 12.1
Exhibit 12.1
CBL & Associates Properties, Inc.
Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Dividends
(in thousands, except ratios)

| Six Months Ended June 30, |  | Year Ended December 31,
| 2018 |  | 2017 |  | 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013
Earnings: |  |  |  |  |  |  |  |  |  |  |  |  |
Income (loss) before discontinued operations, equity in earnings and noncontrolling interests | $ | (41,624 | ) |  | $ | 93,727 |  |  | $ | 134,110 |  |  | $ | 75,935 |  |  | $ | 103,756 |  |  | $ | 242,675 |  |  | $ | 105,006 |
Fixed charges less capitalized interest and preferred dividends | 107,970 |  |  | 111,266 |  |  | 218,680 |  |  | 216,318 |  |  | 229,458 |  |  | 239,844 |  |  | 231,934 |
Distributed income of equity investees | 9,669 |  |  | 9,640 |  |  | 22,373 |  |  | 16,603 |  |  | 21,095 |  |  | 21,866 |  |  | 15,995 |
Equity in losses of equity investees for which charges arise from guarantees | — |  |  | — |  |  | — |  |  | — |  |  | (197 | ) |  | (63 | ) |  | (44 | )
Noncontrolling interest in earnings of subsidiaries that have not incurred fixed charges | (65 | ) |  | (80 | ) |  | (448 | ) |  | (127 | ) |  | (152 | ) |  | (273 | ) |  | (3,069 | )
Total earnings | $ | 75,950 |  |  | $ | 214,553 |  |  | $ | 374,715 |  |  | $ | 308,729 |  |  | $ | 353,960 |  |  | $ | 504,049 |  |  | $ | 349,822 |
Combined fixed charges and preferred dividends (1): |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expense (2) | $ | 107,970 |  |  | $ | 111,266 |  |  | $ | 218,680 |  |  | $ | 216,318 |  |  | $ | 229,458 |  |  | $ | 239,844 |  |  | $ | 231,934 |
Capitalized interest | 1,538 |  |  | 1,224 |  |  | 2,222 |  |  | 2,302 |  |  | 4,153 |  |  | 7,246 |  |  | 5,837 |
Preferred dividends (3) | 22,446 |  |  | 22,446 |  |  | 44,892 |  |  | 44,892 |  |  | 44,892 |  |  | 44,892 |  |  | 59,529 |
Total combined fixed charges and preferred dividends | $ | 131,954 |  |  | $ | 134,936 |  |  | $ | 265,794 |  |  | $ | 263,512 |  |  | $ | 278,503 |  |  | $ | 291,982 |  |  | $ | 297,300 |
Ratio of earnings to combined fixed charges and preferred dividends | — |  | (4) | 1.59 |  |  | 1.41 |  |  | 1.17 |  |  | 1.27 |  |  | 1.73 |  |  | 1.18 |

(1) | The interest portion of rental expense is not calculated because the rental expense of the Company is not significant.

(2) | Interest expense includes amortization of capitalized debt expenses and amortization of premiums and discounts.

(3) | Includes preferred distributions to the Company's partner in CW Joint Venture, LLC, through September 2013 when the outstanding perpetual preferred joint venture units were redeemed.

(4) | Earnings were inadequate to cover combined fixed charges and preferred dividends for the six months ended June 30, 2018 by $56,004.