EX-12.1 4 h23508exv12w1.htm RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

Exhibit 12.1

SERVICE CORPORATION INTERNATIONAL
RATIO OF EARNINGS TO FIXED CHARGES
(In thousands, except ratio amounts)

                                         
    Twelve months ended December 31,  
    2004     2003     2002     2001     2000  
                    (Restated)     (Restated)     (Restated)  
                    Note 2     Note 2     Note 2  
Earnings:
                                        
Income (loss) from continuing operations before income taxes and cumulative effects of accounting changes
   $ 110,798     $ 111,219     $ (119,850 )   $ (418,617 )   $ (465,933 )
Undistributed income of less than 50% owned equity investees
     —       —       —       (939 )     (2,510 )
Minority interest in income of majority owned subsidiaries with fixed charges
     594       715       706       (799 )     408  
Add: fixed charges as adjusted (from below)
     137,359       158,239       177,690       241,859       318,204  
 
                              
 
   $ 248,751     $ 270,173     $ 58,546     $ (178,496 )   $ (149,831 )
 
                              
Fixed charges:
                                        
Interest expense:
                                        
Corporate
   $ 108,141     $ 129,388     $ 150,871     $ 204,751     $ 273,723  
Financial service
     —       —       —       —       8,833  
Capitalized
     —       —       —       —       1  
Amortization of debt cost
     10,047       9,237       7,102       6,106       6,392  
1/3 of rental expense
     19,171       19,614       19,717       31,002       29,256  
 
                              
Fixed charges
     137,359       158,239       177,690       241,859       318,205  
Less: Capitalized interest
     —       —       —       —       (1 )
 
                              
Fixed charges as adjusted
   $ 137,359     $ 158,239     $ 177,690     $ 241,859     $ 318,204  
 
                              
Ratio (earnings divided by fixed charges)
     1.81       1.71       A       A       A  

A.   During the twelve months ended December 31, 2002, 2001 and 2000 the ratio coverage was less than 1:1. In order to achieve a coverage of 1:1, the Company would have had to generate additional income from continuing operations before income taxes and cumulative effects of accounting changes of $119,144, $420,355 and $468,035 for the twelve months ended December 31, 2002, 2001 and 2000, respectively.