EX-12 2 d287051dex12.htm RATIO OF EARNINGS TO FIXED CHARGES Ratio of Earnings to Fixed Charges

EXHIBIT 12

DOLE FOOD COMPANY, INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In thousands, except for ratio data)

 

     Fiscal Years Ended  
     December 31,
2011
     January 1,
2011
    January 2,
2010
     January 3,
2009
     December
29, 2007
 

Income (loss) from continuing operations before income taxes and equity earnings

   $ 42,646       $ (27,722   $ 97,670       $ 92,522       $ (36,194

Distributed income of equity method investees

     622         1,255        180         271         439   

Fixed charges from continuing operations

     197,807         225,962        272,259         242,064         250,758   
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Earnings available for fixed charges

   $ 241,075       $ 199,495      $ 370,109       $ 334,857       $ 215,003   
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Fixed charges from continuing operations:

             

Interest expense

   $ 132,238       $ 150,906      $ 196,789       $ 169,799       $ 190,129   

Amortization of debt expense and discounts

     10,192         13,044        8,926         4,686         4,722   

Assumed interest element included in rent expense

     55,377         62,012        66,544         67,579         55,907   
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Total fixed charges from continuing operations

   $ 197,807       $ 225,962      $ 272,259       $ 242,064       $ 250,758   
  

 

 

    

 

 

   

 

 

    

 

 

    

 

 

 

Ratio of earnings to fixed charges (A)

     1.22 X         0.88 X        1.36 X         1.38 X         0.86 X   

 

(A) Due to Dole’s loss from continuing operations in 2010 and 2007, the ratio of earnings to fixed charges was less than 1:1. Dole would have needed to generate additional earnings of $26.5 million and $35.8 million to achieve a coverage ratio of 1:1 for 2010 and 2007, respectively.