EX-12.1 89 c58553_ex12-1.htm

EXHIBIT 12.1

Exhibit 12.1
Wendy's/Arby's Restaurants, LLC
Unaudited Computation of Ratio of Earnings to Fixed Charges
(Dollars in Millions)

   
Year Ended
 
Six Months Ended
 
   
 
 
   
January 2,
 
January 1,
December 31,
December 30,
 
December 28,
Pro Forma
December 28,
June 29,
 
June 28,
 
Pro Forma
June 28,
   
2005
2006
2006
2007
2008
2008
2008
 
2009
 
2009
   
 
 
 
 
 
 
 
 
 
 
Income (loss) from continuing                                                            
operations before income taxes   $ 28.3      $ (20.2 )    $ 43.9      $ 52.8      $ (428.2 )     $ (482.3 )    $ 7.3      $ 29.8     
$
3.3  
 
Add equity in losses (deduct equity                                                  
   
in earnings) of equity investees                     (2.0 )   (2.0 )       (3.6 )
 
(3.6 )
 
Add distribution of earnings from equity                                                  
   
investees                     2.9     2.9         7.1  
 
7.1  
   
 
 
 
 
 
 
 
 
 
      28.3     (20.2 )   43.9     52.8     (427.3 )   (481.4 )   7.3     33.3  
 
6.8  
   
 
 
 
 
 
 
 
 
 
 
Fixed charges:                                                        
 
Interest expense     26.2     36.8     56.9     59.2     66.9     121.0     27.8
 
52.4       78.9  
 
Interest portion of rent expense (a)     5.3     12.7     21.7     22.5     31.8     31.8     12.7
 
69.6       69.6  
   
 
 
 
 
 
 
 
 
 
      31.5     49.5     78.6     81.7     98.7     152.8     40.5
 
122.0       148.5  
   
 
 
 
 
 
 
 
 
 
 
Adjusted earnings from continuing                                                  
   
operations before income taxes   $ 59.8   $ 29.3   $ 122.5   $ 134.5   $ (328.6 ) $ (328.6 ) $ 47.8  
$
155.3     $ 155.3  
   
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges    
1.9x
    N/A     1.6x     1.6x     N/A     N/A     1.2x
 
1.3x       1.0x  
   
 
 
 
 
 
 
 
 
 
 
Amount by which earnings were                                                        
insufficient to cover fixed charges (b)     N/A   $ 29.3     N/A     N/A   $ (328.6 ) $ (328.6 )   N/A     N/A     N/A  
   
 
 
 
 
 
 
 
 
 

 

(a) Represents approximately one-third of rent expense deemed for this purpose to represent the interest component of rental payments.

 

(b) Earnings were insufficient to cover fixed charges for these periods.