EX-12.2 8 ex12_2.htm EXHIBIT 12.2 ex12_2.htm

Exhibit 12.2

Alpha Natural Resources, Inc. and Subsidiaries
Computation of Other Ratios
As of December 31, 2010
(Amounts in thousands except ratios)

Adjusted EBITDA to cash interest ratio: The Adjusted EBITDA to cash interest ratio is defined as Adjusted EBITDA divided by net cash interest expense (defined as interest expense plus/minus interest income and non-cash interest expense). (1)

Adjusted EBITDA (1)
  $ 825,132  
         
Pro Forma net cash interest expense (1)
  $ 42,228  
         
Adjusted EBITDA to cash interest ratio
    19.5  

(1) Adjusted EBITDA and pro forma net cash interest expense are defined and calculated in “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Analysis of Material Debt Covenants” in our 2010 Annual Report on Form 10-K.

Maximum Total Debt less Unrestricted Cash to Adjusted EBITDA Ratio: The maximum total debt less unrestricted cash to adjusted EBITDA ratio is defined as total net debt (defined as the sum of note payable and long-term debt less cash and cash equivalents) divided by Adjusted EBITDA.

Long-term debt, excluding debt discount
  $ 821,500  
Cash and cash equivalents
  $ 554,772  
Total Net Debt
  $ 266,728  
         
Adjusted EBITDA (2)
  $ 825,132  
         
Total debt less unrestricted cash to adjusted EBITDA ratio
    0.3  

(2) Adjusted EBITDA is defined and calculated in “Management’s Discussion and Analysis of Financial Condition and Results of Operations—Analysis of Material Debt Covenants” in our 2010 Annual Report on Form 10-K.