EX-12 6 ex12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Ex 12


Exhibit 12
CLEARWATER PAPER CORPORATION
Computation of Ratio of Earnings to Fixed Charges
(In thousands)
 
 
 
Years Ended December 31,

 
2012
 
2011
 
2010
 
2009
 
2008
Earnings before income taxes
 
$
111,591

 
$
70,920

 
$
76,196

 
$
275,685

 
$
15,337

Add: Fixed charges
 
53,974

 
55,706

 
27,382

 
20,248

 
17,648

Subtract: Capitalized interest
 
(12,570
)
 
(3,705
)
 
(480
)
 
—

 
—

Earnings available for fixed charges
 
$
152,995

 
$
122,921

 
$
103,098

 
$
295,933

 
$
32,985

Fixed charges:
 
 
 
 
 
 
 
 
 
 
Interest expense
 
$
33,796

 
$
44,809

 
$
22,571

 
$
15,505

 
$
13,147

Capitalized interest
 
12,570

 
3,705

 
480

 
—

 
—

Rental expense factor 1
 
7,608

 
7,192

 
4,331

 
4,743

 
4,501

Total fixed charges
 
$
53,974

 
$
55,706

 
$
27,382

 
$
20,248

 
$
17,648

Ratio of earnings to fixed charges
 
2.8

 
2.2

 
3.8

 
14.6

 
1.9

 1 
“Rental expense factor” is the portion of rental expense estimated to be representative of the interest factor within rental expense.
The ratio of earnings to fixed charges is computed by dividing earnings available for fixed charges by fixed charges. Earnings available for fixed charges represent earnings before income taxes and fixed charges excluding capitalized interest. Fixed charges consist of interest expense, capitalized interest and the rental expense factor discussed above.