Attached files
EXHIBIT 12
PILGRIMS PRIDE CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
2010 | Transition Period | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||
Earnings: |
(In thousands) | |||||||||||||||||||||||
Income from continuing operations before income taxes |
$ | 66,488 | $ | (68,446 | ) | $ | (173,849) | $ | (1,185,909) | $ | 98,926 | $ | (26,063) | |||||||||||
Add: Total fixed charges (see below) |
132,905 | 48,899 | 181,094 | 158,414 | 146,919 | 65,584 | ||||||||||||||||||
Less: Interest capitalized |
(1,296) | (1,082 | ) | (2,619) | (5,288) | (5,736) | (4,298) | |||||||||||||||||
Total earnings |
$ | 198,097 | $ | (20,629 | ) | $ | 4,626 | $ | (1,032,783) | $ | 240,109 | $ | 35,223 | |||||||||||
Fixed charges: |
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Interest(a) |
$ | 118,574 | $ | 45,756 | $ | 164,548 | $ | 139,508 | $ | 128,919 | $ | 53,311 | ||||||||||||
Portion of non-cancellable lease expense representative of the interest factor(b) |
14,331 | 3,143 | 16,546 | 18,906 | 18,000 | 12,273 | ||||||||||||||||||
Total fixed charges |
$ | 132,905 | $ | 48,899 | $ | 181,094 | $ | 158,414 | $ | 146,919 | $ | 65,584 | ||||||||||||
Ratio of earnings to fixed charges |
1.49 | (f | ) | (e | ) | (d | ) | 1.63 | (c | ) |
(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 $30.4 million. |
(d) | Earnings were insufficient to cover fixed charges by $1,191.2 million. |
(e) | Earnings were insufficient to cover fixed charges by $176.5 million. |
(f) | Earnings were insufficient to cover fixed charges by $69.5 million. |