EX-12.1 2 sndkex-121xratioofearnings.htm COMPUTATION OF RATIO TO FIXED CHARGES SNDK Ex-12.1- Ratio of Earnings to Fixed Charges Q3 '12
EXHIBIT 12.1

Computation of Ratio of Earnings to Fixed Charges

 Nine months ended September 30, 2012 Fiscal years ended January 1, 2012 January 2, 2011 January 3, 2010 December 28, 2008 December 30, 2007 (In thousands, except ratios) Computation of earnings: Income (loss) before provision for income taxes \$ 303,912 \$ 1,476,754 \$ 1,457,433 \$ 503,801 \$ (1,952,374 ) \$ 352,658 Fixed charges excluding capitalized interest 96,658 125,057 101,434 81,630 67,821 65,081 Distributed earnings from 50%-or-less-owned affiliates (25 ) (2,729 ) (147 ) (392 ) (3,604 ) (5,840 ) Adjusted earnings \$ 400,545 \$ 1,599,082 \$ 1,558,720 \$ 585,039 \$ (1,888,157 ) \$ 411,899 Computation of fixed charges: Interest expense \$ 89,386 \$ 122,512 \$ 90,377 \$ 70,205 \$ 65,207 \$ 62,097 Interest relating to lease guarantee of 50%-or-less-owned affiliates 5,837 — 8,746 8,898 — 615 Interest portion of operating lease expense 1,435 2,545 2,311 2,527 2,614 2,369 Fixed charges \$ 96,658 \$ 125,057 \$ 101,434 \$ 81,630 \$ 67,821 \$ 65,081 Ratio of earnings to fixed charges (1) 4.1x 12.8x 15.4x 7.2x — 6.3x
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 (1) Computed by dividing (i) income (loss) before provision for income taxes adjusted for fixed charges by (ii) fixed charges which include interest expense plus amortization of debt issuance costs, the portion of rent expense under operating leases deemed to be representative of the interest factor and interest relating to lease guarantees of 50%-or-less-owned affiliates.  In fiscal year 2008, earnings were insufficient to cover fixed charges by \$1.96 billion.