EX-12 5 ex12-1form_s3.htm EXHIBIT 12.1

                       Exhibit 12.1

 

                            Wendy’s/Arby’s Group, Inc. And Subsidiaries

                             Unaudited Computation of Ratio Earnings to Fixed Charges

 

 

 

Pro Forma

 

 

Nine Months Ended

 

 

Pro Forma

 

 

Year Ended

 

 

 

September 28,
2008

 

 

September 28,
2008

 

September 30,
2007

 

 

December 30,
2007

 

 

December 30,
2007

 

December 31,
2006

 

January
1,
2006

 

January
2,
2005

 

December 28,
2005

 

 

 

 

(In Thousands Except Ratios)

 

Income (loss) from continuing operations before income taxes and minority interests

 

$

(94,446

)

 

$

(99,694

)

$

(38,635

)

 

$

92,392

 

 

$

9,414

 

$

5,332

 

$

(65,972

)

$

(13,261

)

$

(13,269

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Add equity in losses (deduct equity in earnings) of equity investees

 

 

(4,124

)

 

 

754

 

 

(873

)

 

 

(2,327

)

 

 

2,096

 

 

(2,725

)

 

(2,985

)

 

(2,219

)

 

(2,052

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Distribution of earnings from equity investees

 

 

11,371

 

 

 

 

 

2,761

 

 

 

17,526

 

 

 

4,171

 

 

5,058

 

 

4,805

 

 

1,276

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(87,199

)

 

 

(98,940

)

 

(36,747

)

 

 

107,591

 

 

 

15,681

 

 

7,665

 

 

(64,152

)

 

(14,204

)

 

(15,321

)

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

75,464

 

 

 

41,020

 

 

46,164

 

 

 

113,873

 

 

 

61,331

 

 

114,088

 

 

68,789

 

 

34,171

 

 

37,225

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest portion of rent expense (a)

 

 

39,973

 

 

 

19,151

 

 

18,430

 

 

 

52,084

 

 

 

24,355

 

 

23,851

 

 

14,488

 

 

6,282

 

 

5,933

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

115,437

 

 

 

60,171

 

 

64,594

 

 

 

165,957

 

 

 

85,686

 

 

137,939

 

 

83,277

 

 

40,453

 

 

43,158

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted earnings from continuing operations before income taxes and minority interests

 

$

28,238

 

 

$

(38,769

)

$

27,847

 

 

$

273,548

 

 

$

101,367

 

$

145,604

 

$

19,125

 

$

26,249

 

$

27,837

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

 

N/A

 

 

 

N/A

 

 

N/A

 

 

 

1.65

 

 

 

1.18

 

 

1.06

 

 

N/A

 

 

N/A

 

 

N/A

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amount by which earnings were insufficient to cover fixed charges (b)

 

 

87,199

 

 

 

98,940

 

 

36,747

 

 

 

N/A

 

 

 

N/A

 

 

N/A

 

 

64,152

 

 

14,204

 

 

15,321

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(a) Represents approximately one-third of rent expense deemed for this purpose to represent the interest component of rental payments.

(b) Earnings were insufficient to cover fixed charges for these periods.