EX-12.0 5 dex120.htm COMPUTATION OF EARNINGS TO FIXED CHARGES Computation of Earnings to Fixed Charges

EXHIBIT 12.0

MATTEL, INC. AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

(Unaudited; in thousands, except ratios)

   For the Six
Months Ended
June 30,
2009		     For the Years Ended December 31,  
    2008   2007   2006   2005   2004  

Earnings Available for Fixed Charges:

            

(Loss) Income from continuing operations before income taxes

   $ (41,633 )    $ 487,964   $ 703,398   $ 683,756   $ 652,049   $ 696,254   

Add: Minority interest losses (income) in consolidated subsidiaries

     59        262     255     271     142     (93 ) 

Add:

            

Interest expense

     33,406        81,944     70,974     79,853     76,490     77,764   

Appropriate portion of rents (a)

     16,889        29,833     28,245     25,724     20,475     18,831   
                                       

Earnings available for fixed charges

   $ 8,721      $ 600,003   $ 802,872   $ 789,604   $ 749,156   $ 792,756   
                                       

Fixed Charges:

            

Interest expense

   $ 33,406      $ 81,944   $ 70,974   $ 79,853   $ 76,490   $ 77,764   

Appropriate portion of rents (a)

     16,889        29,833     28,245     25,724     20,475     18,831   
                                       

Fixed charges

   $         50,295      $ 111,777   $ 99,219   $ 105,577   $ 96,965   $ 96,595   
                                       

Ratio of earnings to fixed charges

     (b )      5.37 X     8.09 X     7.48 X     7.73 X     8.21 X   
                                       

 

(a) Portion of rental expenses that is deemed representative of an interest factor, which is one-third of total rental expense.
(b) Earnings for the six months ended June 30, 2009 were inadequate to cover fixed charges by approximately $42 million.