EX-12 5 cnf_01ex12b.txt EXHIBIT 12 Exhibit 12(b) CNF INC. COMPUTATION OF RATIOS OF EARNINGS (LOSS) TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS "Year Ended December 31,
(dollars in thousands) 2001 2000 1999 1998 1997 Combined Fixed Charges and Preferred Stock Dividends: Interest expense $27,992 $29,972 $25,972 $32,627 $39,553 Capitalized interest 864 4,636 5,864 2,342 2,077 Dividend requirement on Series B Preferred Stock(1) 10,606 10,808 10,992 12,133 12,377 Dividend requirement on preferred securities of subsidiary trust 6,250 6,250 6,250 6,250 3,471 Interest component of rental expense (2) 25,033 38,161 41,363 40,750 35,607 Fixed Charges $70,745 $89,827 $90,441 $94,102 $93,085 Earnings (Loss): Income (Loss) from continuing operations before taxes (3) $(695,933) $261,196 $332,260 $253,812 $234,812 Fixed charges: 70,745 89,827 90,441 94,102 93,085 Capitalized interest (864) (4,636) (5,864) (2,342) (2,077) Preferred dividend requirements(4) (10,606) (10,808) (10,992) (12,133) (12,377) $(636,658) $335,579 $405,845 $333,439 $313,443 Ratio (9.0)x 3.7x 4.5x 3.5x 3.4x Deficiency in the coverage of fixed charges by earnings (loss) before fixed charges (707,403) - - - - (1) Dividends on shares of the Series B cumulative convertible preferred stock are used to pay debt service on notes issued by the Company's Thrift and Stock Plan. (2) Estimate of the interest portion of lease payments. (3) For the year ended December 31, 2001, results included a $652.2 million loss from restructuring charges at Emery Worldwide and Menlo Logistics' $47.5 million loss from the business failure of a customer. (4) Preferred stock dividend requirements included in Combined Fixed Charges but not deducted in the determination of Income from Continuing Operations Before Income Taxes.