Exhibit 12
Statement of Computation of Ratio of Earnings to Fixed Charges
Twelve Months Ended December 31, | ||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Income (Loss) from continuing operations attributable to MDC Partners Inc. | $ | (137,479 | ) | $ | (78,758 | ) | $ | (82,592 | ) | $ | (11,934 | ) | $ | (16,249 | ) | |||||
Additions: | ||||||||||||||||||||
Income taxes (recovery) | (4,291 | ) | 9,553 | 41,735 | (165 | ) | 8,536 | |||||||||||||
Noncontrolling interest in earnings of consolidated subsidiaries | 6,461 | 6,863 | 8,429 | 10,378 | 5,566 | |||||||||||||||
Fixed charges, as shown below | 113,893 | 58,267 | 50,577 | 39,528 | 27,404 | |||||||||||||||
Distributions received from equity-method investees | 3,761 | 1,288 | 4,584 | 638 | 198 | |||||||||||||||
119,824 | 75,971 | 105,325 | 50,379 | 41,704 | ||||||||||||||||
Subtractions: | ||||||||||||||||||||
Equity in income (loss) of nonconsolidated affiliates | 281 | 633 | 213 | 866 | (8 | ) | ||||||||||||||
Noncontrolling interest in earnings of consolidated subsidiaries that have not incurred fixed charges | — | — | — | — | — | |||||||||||||||
281 | 633 | 213 | 866 | (8 | ) | |||||||||||||||
Earnings (loss) as adjusted | (17,936 | ) | (3,420 | ) | 22,520 | 37,579 | 25,463 | |||||||||||||
Fixed charges: | ||||||||||||||||||||
Interest on indebtedness, expensed or capitalized | 93,060 | 44,322 | 39,747 | 31,351 | 18,057 | |||||||||||||||
Amortization of debt discount and expense and premium on indebtedness, expensed or capitalized | 7,762 | 2,249 | 2,175 | 2,136 | 4,041 | |||||||||||||||
Interest within rent expense | 13,071 | 11,696 | 8,655 | 6,041 | 5,306 | |||||||||||||||
Total fixed charges | $ | 113,893 | $ | 58,267 | $ | 50,577 | $ | 39,528 | $ | 27,404 | ||||||||||
Ratio of earnings to fixed charges | N/A | N/A | N/A | N/A | N/A | |||||||||||||||
Dollar amount deficiency | $ | 131,829 | $ | 61,687 | $ | 28,057 | 1,949 | 1,941 |