EX-12 7 d629471dex12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12                   

CLEAR CHANNEL COMMUNICATIONS, INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(unaudited)

 

   

 

Predecessor

     Successor        
   

Period

from

January 1

through

    

Period from

July 31
through

     Year ended December 31,     Nine Months ended
September 30,		  

(dollars in millions)

 

   July 30,
2008		      December 31, 
2008		     2009     2010     2011     2012     2012     2013  
 

Computation of earnings:

                
 

Income (loss) before income taxes and adjustment for (income) loss from equity investees

    $       491,809         $   (5,743,061)        $ (4,521,667)        $ (628,535)        $ (420,965)        $ (738,026)        $ (405,615)        $ (453,529)    
 

Distributed income (loss) from equity investees

     29,935          13,143          20,901          11,084          18,527          20,122          17,171          17,442     
 

Fixed charges

     477,597          900,069          1,896,482          1,919,554          1,872,749          1,948,406          1,445,078          1,531,249     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Total earnings

    $ 999,341         $   (4,829,849)        $ (2,604,284)        $ 1,302,103         $ 1,470,311         $ 1,302,502         $ 1,056,634         $ 1,095,162     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Computation of fixed charges:

                
 

Interest expense

    $ 213,210         $ 715,768         $ 1,500,866         $ 1,533,341         $ 1,466,246         $ 1,549,023         $ 1,148,093         $ 1,231,437     
 

Portion of rent expense representative of interest (1)

     264,387          184,301          395,616          386,213          406,503          399,383          296,985          299,812     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Total fixed charges

    $ 477,597         $ 900,069         $     1,896,482         $     1,919,554         $     1,872,749         $     1,948,406         $     1,445,078         $     1,531,249     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
 

Ratio of earnings to fixed charges (2)

     2.09         N/A          N/A          N/A          N/A          N/A          N/A          N/A     
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
                 

 

(1)      

    Imputed interest on operating leases is estimated to be approximately one-third of rent expense.

(2)      

    For the years ended December 31, 2012, 2011, 2010, 2009 and 2008, and the nine months ended September 30, 2013 and 2012, earnings available for fixed charges were inadequate to cover fixed charges by $717.9 million, $402.4 million, $617.5 million, $4.5 billion, $5.2 billion, $436.1 million and $388.4 million, respectively.