EX-12 3 a2213081zex-12.htm EX-12

Exhibit 12

 

TELEPHONE AND DATA SYSTEMS, INC.

RATIO OF EARNINGS TO FIXED CHARGES

For the Year Ended December 31,

 

(Dollars in thousands)

 

2012

 

2011

 

2010

 

2009

 

2008

 

EARNINGS:

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes (1)

 

$

196,235

 

$

363,745

 

$

285,774

 

$

385,488

 

$

156,366

 

Add (deduct):

 

 

 

 

 

 

 

 

 

 

 

Equity in earnings of unconsolidated entities

 

(92,867

)

(82,538

)

(98,074

)

(90,732

)

(89,812

)

Distributions from unconsolidated entities

 

84,884

 

92,231

 

100,845

 

91,587

 

92,335

 

Amortization of capitalized interest

 

1,676

 

1,109

 

867

 

497

 

—

 

Income attributable to noncontrolling interests in subsidiaries that do not have fixed charges

 

(25,709

)

(22,004

)

(21,938

)

(20,333

)

(23,955

)

 

 

164,219

 

352,543

 

267,474

 

366,507

 

134,934

 

Add fixed charges:

 

 

 

 

 

 

 

 

 

 

 

Consolidated interest expense (2)

 

86,745

 

118,201

 

116,810

 

126,209

 

139,304

 

Interest portion (1/3) of consolidated rent expense

 

57,594

 

52,455

 

51,244

 

49,553

 

46,420

 

 

 

308,558

 

523,199

 

435,528

 

542,269

 

320,658

 

FIXED CHARGES:

 

 

 

 

 

 

 

 

 

 

 

Consolidated interest expense (2)

 

86,745

 

118,201

 

116,810

 

126,209

 

139,304

 

Capitalized interest

 

21,369

 

14,321

 

4,825

 

3,850

 

4,162

 

Interest portion (1/3) of consolidated rent expense

 

57,594

 

52,455

 

51,244

 

49,553

 

46,420

 

 

 

$

165,708

 

$

184,977

 

$

172,879

 

$

179,612

 

$

189,886

 

RATIO OF EARNINGS TO FIXED CHARGES

 

1.86

 

2.83

 

2.52

 

3.02

 

1.69

 

 

 

 

 

 

 

 

 

 

 

 

 

Tax-effected preferred dividends

 

$

78

 

$

71

 

$

75

 

$

78

 

$

82

 

Fixed charges

 

165,708

 

184,977

 

172,879

 

179,612

 

189,886

 

Fixed charges and preferred dividends

 

$

165,786

 

$

185,048

 

$

172,954

 

$

179,690

 

$

189,968

 

RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS

 

1.86

 

2.83

 

2.52

 

3.02

 

1.69

 

 

(1)         Includes non-cash charges related to losses on impairment as follows: 2012: $0.5 million; 2009: $14.0 million; 2008: $414.4 million.

 

Includes (Gain) loss on sale of business and other exit costs, net as follows: 2012: $21.1 million.

 

Includes loss on investment of $3.7 million in 2012 and gain on investment as follows: 2011: $24.1 million; 2008: $31.6 million.

 

(2)         Interest expense on income tax contingencies is not included in fixed charges.