Exhibit 12
WASHINGTON REAL ESTATE INVESTMENT TRUST
Computation of Ratios
(In thousands)
Earnings to fixed charges ratio:
| Q3 2011 | Q3 2010 | YTD 2011 | YTD 2010 | |||||||||||||
| Income from continuing operations |
$ | 2,707 | $ | 3,093 | $ | 9,257 | $ | 7,955 | ||||||||
| Additions: |
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| Fixed charges |
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| Interest expense |
16,508 | 16,717 | 50,266 | 49,662 | ||||||||||||
| Capitalized interest |
236 | 83 | 400 | 775 | ||||||||||||
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| 16,744 | 16,800 | 50,666 | 50,437 | |||||||||||||
| Deductions: |
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| Capitalized interest |
(236 | ) | (83 | ) | (400 | ) | (775 | ) | ||||||||
| Net income attributable to noncontrolling interests |
(28 | ) | (33 | ) | (85 | ) | (109 | ) | ||||||||
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| Adjusted earnings |
$ | 19,187 | $ | 19,777 | $ | 59,438 | $ | 57,508 | ||||||||
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| Fixed charges (from above) |
$ | 16,744 | $ | 16,800 | $ | 50,666 | $ | 50,437 | ||||||||
| Ratio of earnings to fixed charges |
1.14 | 1.18 | 1.17 | 1.14 | ||||||||||||
Debt service coverage ratio:
| Q3 2011 | Q3 2010 | YTD 2011 | YTD 2010 | |||||||||||||
| Net income attributable to the controlling interests |
$ | 63,008 | $ | 6,625 | $ | 74,195 | $ | 26,835 | ||||||||
| Additions: |
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| Interest expense |
16,739 | 17,100 | 50,962 | 51,178 | ||||||||||||
| Real estate depreciation and amortization |
24,422 | 24,278 | 75,130 | 71,555 | ||||||||||||
| Real estate impairment |
— | — | 599 | — | ||||||||||||
| Income tax expense |
(35 | ) | — | 1,138 | — | |||||||||||
| Non-real estate depreciation |
243 | 277 | 759 | 823 | ||||||||||||
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| 41,369 | 41,655 | 128,588 | 123,556 | |||||||||||||
| Deductions: |
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| Loss on extinguishment of debt |
— | 238 | — | 280 | ||||||||||||
| Gain on sale of real estate |
(56,639 | ) | — | (56,639 | ) | (7,942 | ) | |||||||||
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| Adjusted EBITDA |
$ | 47,738 | $ | 48,518 | $ | 146,144 | $ | 142,729 | ||||||||
| Debt service |
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| Interest expense |
$ | 16,739 | $ | 17,100 | $ | 50,962 | $ | 51,178 | ||||||||
| Principal amortization |
1,142 | 1,042 | 3,189 | 3,187 | ||||||||||||
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| $ | 17,881 | $ | 18,142 | $ | 54,151 | $ | 54,365 | |||||||||
| Debt service coverage ratio |
2.67 | 2.67 | 2.70 | 2.63 | ||||||||||||