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

Exhibit 12

UNISYS CORPORATION

COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND

PREFERRED STOCK DIVIDENDS (UNAUDITED)

($ in millions)

 

     Six Months
Ended
June 30, 2011		    

 

Years Ended December 31

  
     2010     2009     2008     2007     2006  

Fixed charges

             

Interest expense

    $ 39.2      $ 101.8      $ 95.2      $ 85.1      $ 76.3      $ 77.2   

Interest capitalized during the period

      2.3        9.1        7.5        9.0        9.1        9.9   

Amortization of debt issuance expenses

      1.0        2.6        3.3        4.1        3.8        3.8   

Portion of rental expense representative of interest

      16.7        33.5        34.9        46.9        52.4        53.7   
                                                

Total Fixed Charges

      59.2        147.0        140.9        145.1        141.6        144.6   
                                                

Preferred stock dividend requirements (a)

      5.4        —          —          —          —          —     
                                                

Total fixed charges and preferred stock dividends

      64.6        147.0        140.9        145.1        141.6        144.6   
                                                

Earnings

             

Income (loss) from continuing operations before income taxes

      (22.4 )      222.9        218.2        (97.6 )      14.8        (228.9 ) 

Add (deduct) the following:

             

Share of loss of associated companies

      —          —          —          —          —          4.5   

Amortization of capitalized interest

      3.8        9.1        11.6        16.1        14.5        13.7   
                                                

Subtotal

      (18.6 )      232.0        229.8        (81.5 )      29.3        (210.7 ) 
                                                

Fixed charges per above

      59.2        147.0        140.9        145.1        141.6        144.6   

Less interest capitalized during the period

      (2.3 )      (9.1 )      (7.5 )      (9.0 )      (9.1 )      (9.9 ) 
                                                

Total earnings (loss)

    $ 38.3      $ 369.9      $ 363.2      $ 54.6      $ 161.8      $ (76.0 ) 
                                                

Ratio of earnings to fixed charges

      *        2.52        2.58        *        1.14        *   
                                                

Ratio of earnings to fixed charges and preferred stock dividends

      **        2.52        2.58        **        1.14        **   
                                                

 

(a) Amounts have not been grossed up for income tax since the preferred stock was issued by the U.S. parent corporation which has a full valuation allowance against its net deferred tax assets.
* Earnings for the six months ended June 30, 2011 and for the years ended December 31, 2008 and 2006 were inadequate to cover fixed charges by $20.9 million, $90.5 million and $220.6 million, respectively.
** Earnings for the six months ended June 30, 2011 and for the years ended December 31, 2008 and 2006 were inadequate to cover fixed charges and preferred stock dividends by $26.3 million, $90.5 million and $220.6 million, respectively.

 

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