EX-12 4 pnkex12123116.htm EXHIBIT 12 Exhibit


Exhibit 12

Pinnacle Entertainment, Inc.
Computation of Ratio of Earnings to Fixed Charges

 
For the year ended December 31,
 
2012
 
2013
 
2014
 
2015
 
2016
 
 
 
 
 
 
 
 
 
 
 
(in thousands)
Earnings:
 
 
 
 
 
 
 
 
 
Pre-tax income (loss) from continuing operations before losses from equity method investments
$
22,307

 
$
(96,254
)
 
$
49,592

 
$
56,758

 
$
(485,825
)
Add: Fixed charges
119,425

 
178,723

 
261,623

 
250,313

 
342,346

Less: Capitalized interest
(20,310
)
 
(3,282
)
 
(2,854
)
 
—

 
(105
)
Total earnings
$
121,422

 
$
79,187

 
$
308,361

 
$
307,071

 
$
(143,584
)
 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
Interest expense, net of capitalized interest and inclusive of amortization of debt issuance costs and debt discount/premium
$
94,484

 
$
170,218

 
$
253,048

 
$
244,708

 
$
334,777

Capitalized interest
20,310

 
3,282

 
2,854

 
—

 
105

Estimated interest portion of rent expense
4,631

 
5,223

 
5,721

 
5,605

 
7,464

Total fixed charges
$
119,425

 
$
178,723

 
$
261,623

 
$
250,313

 
$
342,346

Ratio of earnings to fixed charges
1.0x

 
(a)

 
1.2x

 
1.2x

 
(a)

(a)
Due principally to large non-cash charges deducted to compute earnings, earnings were less than fixed charges by $99.5 million and $485.9 million for the years ended December 31, 2013 and 2016, respectively.