EX-12 2 a51044635ex12.htm EXHIBIT 12 a51044635ex12.htm
EXHIBIT 12
 
CHEMED CORPORATION
    
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
    
(in thousands, except ratios)
    
                                 
   
2010
    
2011
    
2012
    
2013
    
2014
    
                                 
Pretax income from continuing operations
   $ 133,831     $ 140,556     $ 145,819     $ 123,829     $ 162,754    
                                           
Additions:
                                          
     Fixed charges
     24,230       26,656       28,021       28,032       21,388    
     Amortization of capitalized interest
     331       438       435       435       435    
 
                                          
          Adjusted income
   $ 158,392     $ 167,650     $ 174,275     $ 152,296     $ 184,577    
                                           
Fixed Charges:
                                          
     Interest expense
   $ 11,959     $ 13,888     $ 14,723     $ 15,035     $ 8,186    
     Interest component of rental expense
     12,271       12,768       13,298       12,997       13,202    
 
                                          
          Fixed charges
   $ 24,230     $ 26,656     $ 28,021     $ 28,032     $ 21,388    
                                           
Ratio of earnings to fixed charges (a)
     6.5   x   6.3   x   6.2   x   5.4   x   8.6   x
                                           
                                           

(a) For purposes of computing the ratio of earnings to fixed charges, pretax income from continuing operations has been added to fixed charges and adjusted for capitalized interest to derive adjusted income. Fixed charges consist of interest expense on debt (including the amortization of deferred financing costs), prepayment penalties on the early extinguishment of debt and one-third (the proportion deemed representative of the interest component) of rental expense. Fixed charge amounts include interest from both continuing and discontinued operations.
 
 
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