EX-12 4 ex12.htm COMPUTATION OF RATION OF EARNINGS TO FIXED CHARGES ex12.htm
EXHIBIT 12
PILGRIM'S PRIDE CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES


   
2009
   
2008
   
2007
   
2006
   
2005
 
   
(In thousands)
 
Earnings:
                             
Income from continuing operations before income taxes
  $ (173,767 )   $ (1,187,093 )   $ 98,835     $ (26,626 )   $ 427,362  
Add: Total fixed charges (see below)
    181,094       158,414       146,919       65,584       63,415  
Less: Interest capitalized
    (2,619 )     (5,288 )     (5,736 )     (4,298 )     (2,821 )
                                         
Total earnings
  $ 4,708     $ (1,033,967 )   $ 240,018     $ 34,660     $ 487,956  
                                         
Fixed charges:
                                       
Interest (a)
  $ 164,548     $ 139,508     $ 128,919     $ 53,311     $ 51,106  
Portion of non-cancellable lease expense representative of the interest factor (b)
    16,546       18,906         18,000         12,273         12,309  
                                         
Total fixed charges
  $ 181,094     $ 158,414     $ 146,919     $ 65,584     $ 63,415  
                                         
Ratio of earnings to fixed charges
 
(e)
   
(d)
      1.63    
(c)
      7.69  
   
 
(a)
Interest includes amortization of capitalized financing fees.
 
     
(b)
One-third of non-cancellable lease expense is assumed to be representative of the interest factor.
 
     
(c)
Earnings were insufficient to cover fixed charges by $30.9 million.
 
     
(d)
Earnings were insufficient to cover fixed charges by $1,192.4 million.
 
     
(e)
Earnings were insufficient to cover fixed charges by $176.4 million.