EX-12 7 a2213018zex-12.htm EX-12

Exhibit 12

Select Medical Holdings Corporation
Ratio of Earnings to Fixed Charges
(unaudited)

 
  For the Year Ended December 31,  
 
  2008   2009   2010   2011   2012  
 
  (dollars in thousands)
 

Pre-tax income from operations before adjustments for non-controlling interests in consolidated subsidiaries or earnings (loss) from equity investees

  $ 51,897   $ 116,404   $ 124,432   $ 180,807   $ 235,845  
                       

Fixed charges:

                               

Interest expense and amortization of debt discount and premium on all indebtedness

    145,894     132,469     112,337     99,216     94,950  

Capitalized interest

    474     427     767     304     153  

Rentals:

                               

Buildings—33%(A)

    36,380     38,644     39,033     39,070     40,973  

Office and other equipment—33%(A)

    9,580     9,309     12,038     15,010     14,577  

Preferred stock dividend requirements of consolidated subsidiaries

    53,970     29,273              
                       

Total fixed charges

  $ 246,299   $ 210,121   $ 164,175   $ 153,600   $ 150,653  
                       

Pre-tax income from operations before adjustment for non-controlling interests in consolidated subsidiaries or earnings (loss) from equity investees plus fixed charges, less preferred stock dividend requirements of consolidated subsidiaries less capitalized interest

  $ 297,722   $ 326,098   $ 287,840   $ 334,103   $ 386,345  
                       

Ratio of earnings to fixed charges

    1.21     1.55     1.75     2.18     2.56  
                       

(A)
The Company uses 33% to estimate the interest on its rentals. This percentage is a reasonable approximation of the interest factor.

Select Medical Corporation
Ratio of Earnings to Fixed Charges
(unaudited)

 
  For the Year Ended December 31,  
 
  2008   2009   2010   2011   2012  
 
  (dollars in thousands)
 

Pre-tax income from operations before adjustments for non-controlling interests in consolidated subsidiaries or earnings (loss) from equity investees

  $ 84,100   $ 152,037   $ 152,297   $ 209,424   $ 247,036  
                       

Fixed charges:

                               

Interest expense and amortization of debt discount and premium on all indebtedness

    110,889     99,543     84,472     81,232     83,759  

Capitalized interest

    474     427     767     304     153  

Rentals:

                               

Buildings—33%(A)

    36,380     38,644     39,033     39,070     40,973  

Office and other equipment—33%(A)

    9,580     9,309     12,038     15,010     14,577  
                       

Total fixed charges

  $ 157,323   $ 147,922   $ 136,310   $ 135,616   $ 139,462  
                       

Pre-tax income from operations before adjustment for non-controlling interests in consolidated subsidiaries or earnings (loss) from equity investees plus fixed charges, less preferred stock dividend requirements of consolidated subsidiaries less capitalized interest

  $ 240,949   $ 299,532   $ 287,840   $ 344,736   $ 386,345  
                       

Ratio of earnings to fixed charges

    1.53     2.02     2.11     2.54     2.77  
                       

(A)
The Company uses 33% to estimate the interest on its rentals. This percentage is a reasonable approximation of the interest factor.