EX-12.1 5 dex121.htm STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Statement Regarding Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

Statement Regarding Computation of Ratio of Earnings to Fixed Charges

 

Ratio of Earnings to Fixed Charges

    Year Ended December 31,     Nine months ended
September 30, 2010		  
     2009      2008      2007     2006     2005    

Earnings:

               

Net income attributable to MasTec

    $ 70,748       $ 65,788       $ (7,328 )    $ (50,348 )    $ (14,616 )    $ 52,017   

Provision for income taxes

      8,385         870         —          —          —          35,912   

Income attributable to MasTec before income taxes

      79,133         66,658         (7,328 )      (50,348 )      (14,616 )      87,929   

Add:

               

Minority interest (1)

    $ —         $ —         $ 2,459      $ 2,294      $ 1,714      $ —     

Loss from discontinued operations

      —           814         13,611        90,398        35,947        —     

Fixed charges

      51,237         36,928         32,168        31,186        35,297        51,187   

Subtotal Earnings

    $ 130,370       $ 104,400       $ 40,910      $ 73,530      $ 58,342      $ 139,116   

Less: Undistributed earnings of less-than-50% owned affiliates

      —           —           119        5,772        285        —     
                                                  

Total Earnings

    $ 130,370       $ 104,400       $ 40,791      $ 67,758      $ 58,057      $ 139,116   
                                                  

Fixed Charges:

               

Interest expense

    $ 25,944       $ 17,721       $ 16,135      $ 14,453      $ 19,463      $ 22,732   

Estimate of interest within rental expense

      25,293         19,207         16,033        16,733        15,834        28,455   
                                                  

Total Fixed Charges

    $ 51,237       $ 36,928       $ 32,168      $ 31,186      $ 35,297      $ 51,187   
                                                  

Ratio of Earnings to Fixed Charges

      2.5x         2.8x         1.3x        2.2x        1.6x        2.7x   
                                                  

 

(1) In years prior to the adoption of SFAS 160, Non-controlling Interests in Consolidated Financial Statements, (2004-2008), other parties’ interests in less-than-100%-owned subsidiaries were accounted for as minority interest. Upon the adoption of SFAS 160 in 2009, these interests are accounted for as non-controlling interests and are excluded from net income attributable to MasTec. Therefore, no further adjustment for the non-controlling interest portion of net income is required in 2009 or 2010.