EX-12 2 exhibit12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

EXHIBIT 12
PILGRIM'S PRIDE CORPORATION
COMPUTATION OF RATIO EARNINGS TO FIXED CHARGES

Transition
    2013     2012     2011     2010     Period     2009
Earnings:
       Income from continuing operations before
       income taxes $    573,940 $    153,062 $    (487,126 ) $    66,488 $    (68,446 ) $    (173,849 )
       Add: Total fixed charges (see below) 88,660 113,011 126,111 132,905 48,899 181,094
       Less: Interest capitalized (586 ) (1,717 ) (3,424 ) (1,296 ) (1,082 ) (2,619 )
              Total earnings 662,014 264,356 (364,439 ) 198,097 (20,629 ) 4,626
Fixed charges:
       Interest(a) 87,592 106,643 114,955 118,574 45,756 164,548
       Portion of noncancelable lease expense
       representative of interest factor(b) 1,068 6,368 11,156 14,331 3,143 16,546
              Total fixed charges 88,660 113,011 126,111 132,905 48,899 181,094
 
Ratio of earnings to fixed charges 7.47 2.34 (c) 1.49 (d) (e)

(a)   Interest includes amortization of capitalized financing fees.
(b)   One-third of noncancelable lease expense is assumed to be representative of the interest factor.
(c)   Earnings were insufficient to cover fixed charges by $490.6 million.
(d)   Earnings were insufficient to cover fixed charges by $69.5 million.
(e)   Earnings were insufficient to cover fixed charges by $176.5 million.