EX-12.1 4 dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

Domtar Corporation

Computation of ratio of earnings to fixed charges

Notes to consolidated financial statements

June 29, 2008

(In millions of dollars, unless otherwise noted)

(Unaudited)

 

 

     Thirteen weeks ended    Twenty-six weeks ended
     June 29,
2008
   July 1,
2007
   June 29,
2008
   July 1,
2007
     $         $     

Available Earnings:

           

Earnings before income taxes

   43    22    98    82

Add fixed charges:

           

Interest expense (excluding capitalized)

   35    45    72    56

Amortization of loan costs

   2    2    4    2

Interest factor in rents

   2    3    4    6
                   

Total earnings as defined

   82    72    178    146
                   

Fixed charges:

           

Interest expense incurred

   35    45    72    56

Amortization of debt expense

   2    2    4    2

Interest portion of rental expense

   2    3    4    6
                   

Total fixed charges

   39    50    80    64
                   

Ratio of earnings to fixed charges

   2.1    1.4    2.2    2.3