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

(In millions of dollars, unless otherwise noted)

 

     Three months ended  
     March 31,
2010
   March 31,
2009
 
     $    $  

Available earnings:

     

Earnings (loss) before income taxes

   84    (53

Add fixed charges:

     

Interest expense incurred

   30    30   

Amortization of debt expense and discount

   2    1   

Interest portion of rental expense

   3    3   
           

Total earnings (loss) as defined

   119    (19
           

Fixed charges:

     

Interest expense incurred

   30    30   

Amortization of debt expense and discount

   2    1   

Interest portion of rental expense

   3    3   
           

Total fixed charges

   35    34   

Ratio of earnings to fixed charges

   3.4    —     
           

Deficiency in the coverage of earnings to fixed charges

   —      53