EX-12 2 dex12.htm RATIO OF EARNINGS TO FIXED CHARGES Ratio of Earnings to Fixed Charges

EXHIBIT 12

THE NEW YORK TIMES COMPANY

Ratio of Earnings to Fixed Charges (1)

(Unaudited)

 

           For the Years Ended

(In thousands, except ratios)

    For the Six
Months
Ended
June 28, 2009		     December 28,
2008		     December 30,
2007		    December 31,
2006		     December 25,
2005		    December 26,
2004

(Loss)/earnings from continuing operations before fixed charges

               

(Loss)/income from continuing operations before income taxes, noncontrolling interest and income/(loss) from joint ventures

    $ (87,355 )    $ (88,426 )    $ 187,587    $ (571,262 )    $ 397,495    $ 429,065

Distributed earnings from less than fifty-percent owned affiliates

      2,775        35,733        7,979      13,375        9,132      14,990
                                            

Adjusted pre-tax (loss)/earnings from continuing operations

      (84,580 )      (52,693 )      195,566      (557,887 )      406,627      444,055

Fixed charges less capitalized interest

      43,472        55,290        49,435      69,245        64,648      54,222
                                            

(Loss)/earnings from continuing operations before fixed charges

    $ (41,108 )    $ 2,597      $ 245,001    $ (488,642 )    $ 471,275    $ 498,277
                                            

Fixed charges

               

Interest expense, net of capitalized interest(1)

    $ 40,233      $ 48,191      $ 43,228    $ 58,581      $ 53,630    $ 44,191

Capitalized interest

      1,089        2,639        15,821      14,931        11,155      7,181

Portion of rentals representative of interest factor

      3,239        7,099        6,207      10,664        11,018      10,031
                                            

Total fixed charges

    $ 44,561      $ 57,929      $ 65,256    $ 84,176      $ 75,803    $ 61,403
                                            

Ratio of earnings to fixed charges(2)

      —          —          3.75      —          6.22      8.11
                                            

 

Note: The Ratio of Earnings to Fixed Charges should be read in conjunction with this Quarterly Report on Form 10-Q, as well as The New York Times Company’s (the “Company”) Annual Report on Form 10-K for the year ended December 28, 2008.

 

(1) The Company’s policy is to classify interest expense recognized on uncertain tax positions as income tax expense. The Company has excluded interest expense recognized on uncertain tax positions from the Ratio of Earnings to Fixed Charges.

 

(2) In the first six months of 2009, earnings were inadequate to cover fixed charges by approximately $86 million. In 2008, earnings were inadequate to cover fixed charges by approximately $55 million as a result of non-cash impairment charges of $197.9 million for the News Media Group. In 2006, earnings were inadequate to cover fixed charges by approximately $573 million as a result of a non-cash impairment charge of $814.4 million.