EX-12.1 4 dex121.htm EXHIBIT 12.1 EXHIBIT 12.1

Exhibit 12.1

 

The Nasdaq Stock Market, Inc.

Computation of Ratio of Earnings to Fixed Charges

(Dollars in Thousands)

Unaudited

 

     Year Ended December 31,
  
     2004
     2003
     2002
    2001
    2000
  

Pre-tax income (loss) from continuing operations (less minority interest)

    $ 2,553 *   $ (66,352 )**   $ 105,942    $ 97,542    $ 46,868 ***

Add: fixed charges

      11,789       19,042       18,958      9,955      2,778  
    
 
 
  
  

Pre-tax income (loss) before fixed charges

      14,342       (47,310 )     124,900      107,497      49,646  

Fixed charges:

                                       

Interest expense

      11,484       18,555       18,488      9,777      2,778  

Other

      305       487       470      178      —    
    
 
 
  
  

Total fixed charges

      11,789       19,042       18,958      9,955      2,778  

Preferred stock dividend requirements

      8,354       8,279       —        —        —    
    
 
 
  
  

Total combined fixed charges and preferred dividends

    $ 20,143     $ 27,321     $ 18,958    $ 9,955    $ 2,778  
    
 
 
  
  

Ratio of earnings to fixed charges

      1.22       (2.48 )     6.59      10.80      17.87  

Ratio of earnings to fixed charges and preferred stock dividends

      0.71       (1.73 )     6.59      10.80      17.87  
* Includes $62,600 associated with Nasdaq’s 2004 cost reductions.
** Includes costs of $97,910 associated with Nasdaq’s strategic review in 2003.
*** Adjusted for cumulative effect in change in accounting principle of $169,046 in 2000.