EX-12 3 d540222dex12.htm EX-12 EX-12

EXHIBIT 12

Unit Corporation

Computation of Ratio of Earnings to Fixed Charges

 

     2017     2016     2015     2014      2013  
     (Dollars in thousands)  

Income (loss) from continuing operations before income taxes

    $ 60,170     $ (206,818 )    $ (1,664,309 )    $ 222,939      $ 301,469  

(Income) loss from equity investments

      —         —         (18 )      133        238  

Distribution from equity investments

      —         —         —         303        144  

Interest expense

      37,763       39,295       31,464       16,904        14,578  

Amortization of capitalized interest

      4,673 (3)      10,695 (3)      38,695 (3)      5,454        3,080  

Amortization of bond discount

      571       534       499       467        437  
  

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Earnings (loss)

    $ 103,177     $ (156,294 )    $ (1,593,669 )    $ 246,200      $ 319,946  
  

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Fixed charges(1):

            

Interest expense

    $ 37,763     $ 39,295     $ 31,464     $ 16,904      $ 14,578  

Capitalized interest

      15,948       15,293       21,711       32,246        33,670  

Amortization of bond discount

      571       534       499       467        437  
  

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Total fixed charges

    $ 54,282     $ 55,122     $ 53,674     $ 49,617      $ 48,685  
  

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

Ratio of earnings to fixed charges(2)

      1.9x (4)      —   (4)      —         5.0x        6.6x  
  

 

 

    

 

 

    

 

 

    

 

 

     

 

 

  

 

(1) Fixed charges are determined as defined in instructions for Item 503 of Regulation S-K of the Securities Act
(2) There were no shares of preferred stock outstanding during any of the time periods indicated in the table.
(3) Amortization of capitalized interest includes the proportionate amount related to the ceiling test write-down.
(4) Earnings for the years 2016 and 2015 were insufficient to cover fixed charges by $0.2 million and $1.7 billion, respectively.

 

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