EX-12 4 dex12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12

Computation of Ratio of Earnings to Fixed Charges

 

     Year-ended December 31,     Six Months  Ended
July 3, 2010
 
     2005     2006     2007     2008     2009    
     (In thousands, except ratios)        

Earnings

            

Earnings/(loss) before income taxes and noncontrolling interests

   $ 2,137,733      $ 2,911,556      $ 2,546,816      $ 3,104,391      $ (413,978   $ 219,609   

Plus/(Less): losses/(earnings) from equity investments

     (476     17,690        24,618        36,920        82,341        25,749   

Plus: fixed charges (includes interest expense and amortization of bond issuance costs and settled swaps and estimated interest on rent expense)

     36,571        40,351        55,381        146,360        168,317        79,053   

Plus: amortization of capitalized interest

     216        216        216        300        962        1,116   

Plus: distributed income of equity investees

     —          3,172        8,072        20,117        7,373        4,923   

Less: interest capitalized

     —          —          (3,700     (10,020     (16,390     (100

Less: pre-tax earnings in noncontrolling interests in subsidiaries that have not incurred fixed charges

     (110,650     (219,121     (293,604     (314,277     (57,865     (25,856
                                                

Total earnings/(loss) before fixed charges

   $ 2,063,394      $ 2,753,864      $ 2,337,799      $ 2,983,791      $ (229,240   $ 304,494   
                                                

Fixed charges

            

Interest cost and amortization of bond issuance and settled swaps

     36,571        40,351        55,052        144,845        166,313        78,205   

Estimated interest on rent expense

     —          —          329        1,515        2,004        848   
                                                

Total Fixed Charges

     36,571        40,351        55,381        146,360        168,317        79,053   
                                                

Ratio of earnings to fixed charges

     56.42        68.25        42.21        20.39        *        3.85   

 

* Earnings for the year ended December 31, 2009 were inadequate to cover fixed charges. The coverage deficiency was $397,557.