EX-12 2 sprintcorp10-kexhibit122017.htm RATIO OF EARNINGS TO COMBINED FIXED CHARGES Exhibit


Exhibit 12
Computation of Ratio of Earnings to Fixed Charges
 
 
Successor
 
 
Predecessor
 
Year Ended March 31,
 
Three Months Ended
March 31,
 
Year Ended
December 31,
 
 
191 Days Ended
July 10,
 
Three Months Ended
March 31,
 
2018
 
2017
 
2016
 
2015
 
2014
 
2013
 
2013
 
 
2013
 
2013
 
(in millions)
Earnings (loss):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) from continuing operations before income taxes
$
303

 
$
(771
)
 
$
(1,854
)
 
$
(3,919
)
 
$
(95
)
 
$
(8
)
 
$
(1,815
)
 
 
$
443

 
$
(605
)
Equity in losses of unconsolidated investments, net
73

 
2

 
—

 
—

 
—

 
—

 
—

 
 
482

 
202

Fixed charges
3,304

 
3,561

 
3,212

 
2,969

 
747


—

 
1,367

 
 
1,501

 
608

Interest capitalized
(55
)
 
(44
)
 
(51
)
 
(56
)
 
(13
)

—

 
(30
)
 
 
(29
)
 
(15
)
Amortization of interest capitalized
130

 
131

 
133

 
133

 
33

 
—

 
56

 
 
71

 
33

Earnings (loss), as adjusted
$
3,755

 
$
2,879

 
$
1,440


$
(873
)
 
$
672


$
(8
)
 
$
(422
)
 
 
$
2,468

 
$
223

Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense
$
2,365

 
$
2,495

 
$
2,182

 
$
2,051

 
$
516

 
$
—

 
$
918

 
 
$
1,135

 
$
432

Interest capitalized
55

 
44

 
51

 
56

 
13

 
—

 
30

 
 
29

 
15

Portion of rentals representative of interest
884

 
1,022

 
979

 
862

 
218

 
—

 
419

 
 
337

 
161

Fixed charges
$
3,304

 
$
3,561

 
$
3,212

 
$
2,969

 
$
747


$
—

 
$
1,367

 
 
$
1,501

 
$
608

Ratio of earnings to fixed charges
1.1

 
— (1)

 
— (2)

 
— (3)

 
— (4)

 
— (5)

 
— (6)

 
 
1.6 (7)

 
— (8)


(1)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $682 million for the year ended March 31, 2017.
(2)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $1.8 billion for the year ended March 31, 2016.
(3)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $3.8 billion for the year ended March 31, 2015.
(4)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $75 million for the three months ended March 31, 2014.
(5)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $8 million for the three months ended March 31, 2013.
(6)Successor earnings (loss), as adjusted were inadequate to cover fixed charges by $1.8 billion for the year ended December 31, 2013.
(7)The income from continuing operations before taxes for the 191 days ended July 10, 2013 included a pretax gain of $2.9 billion as a result of acquisition of our previously-held equity interest in Clearwire.
(8)Predecessor earnings (loss), as adjusted were inadequate to cover fixed charges by $385 million for the three months ended March 31, 2013.