EX-12.1 2 dex121.htm STATEMENT RE COMPUTATION OF RATIOS statement re Computation of Ratios

Exhibit 12.1

STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERENCE DIVIDENDS

The following illustrates the computation of the historical ratio of earnings to fixed charges (amounts in thousands except ratios). There were either no preference securities outstanding for each of the following periods, or in the case of the period ended December 31, 2009, no preference dividends accrued or payable on preference securities outstanding. Therefore, the ratio of earnings to combined fixed charges and preference dividends are identical to the ratios of earnings to fixed charges.

 

     Year Ended December 31,  

Fixed Charges:

   2005     2006     2007     2008     2009  

Interest on debt

   $ 70,601      $ 97,075      $ 98,302      $ 85,319      $ 136,616   

Amortization of debt premium, discount and capitalized expenses

     (990     (3,143     (3,693     1,011        57,424   

Interest element of rentals*

     13,290        15,770        14,460        15,677        14,294   
                                        

Total Fixed Charges

   $ 82,901      $ 109,702      $ 109,069      $ 102,007      $ 208,334   
                                        

Earnings:

          

Net income (loss)

   $ 286,149      $ 274,651      $ (640,362   $ (976,373   $ (622,019

Add back:

          

Income tax provision (benefit)

     183,022        178,213        (14,447     (170,181     (268,686

Loss (income) on equity method investment

     (521     2,844        (1,633     (2,288     33,861   

Fixed charges

     82,901        109,702        109,069        102,007        208,334   
                                        

Total Earnings

   $ 551,551      $ 565,410      $ (547,373   $ (1,046,835   $ (648,510
                                        

Ratio of Earnings to Fixed Charges

     6.7x        5.2x        (5.0x     (10.3x     (3.1x
                                        

Additional earnings required to achieve a l.0x ratio:

     n/a        n/a      $ 656,442      $ 1,148,842      $ 856,844   

 

* We determined the interest component of rent expense to be 10%.