EX-12 7 a2182914zex-12.htm EXHIBIT 12
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Exhibit 12


HERTZ GLOBAL HOLDINGS, INC. AND SUBSIDIARIES

COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS
TO FIXED CHARGES (UNAUDITED)

(In Thousands of Dollars Except Ratios)

 
  Successor
   
  Predecessor
 
   
   
  For the periods from
   
   
 
  Years ended December 31,
  December 21,
2005 to
December 31,
2005

   
  January 1,
2005 to
December 20,
2005

  Years ended December 31,
 
 




 
  2007
  2006
  2004
  2003
Income (loss) before income taxes and minority interest   $ 386,820   $ 200,651   $ (33,218 )     $ 574,906   $ 502,552   $ 237,492
Interest expense     916,725     943,210     26,812         510,403     408,171     372,924
Portion of rent estimated to represent the interest factor     165,109     147,800     4,084         131,449     119,918     118,813
   
 
 
     
 
 
Earnings (loss) before income taxes, minority interest and fixed charges(b)   $ 1,468,654   $ 1,291,661   $ (2,322 )     $ 1,216,758   $ 1,030,641   $ 729,229
   
 
 
     
 
 
Interest expense (including capitalized interest)   $ 921,634   $ 949,405   $ 26,939       $ 513,275   $ 409,046   $ 373,522
Portion of rent estimated to represent the interest factor     165,109     147,800     4,084         131,449     119,918     118,813
   
 
 
     
 
 
Fixed charges   $ 1,086,743   $ 1,097,205   $ 31,023       $ 644,724   $ 528,964   $ 492,335
   
 
 
     
 
 
Ratio of earnings to fixed charges(b)     1.4     1.2     (a )       1.9     1.9     1.5
   
 
 
     
 
 

(a)
Earnings (loss) before income taxes, minority interest and fixed charges for the period ended December 31, 2005 were inadequate to cover fixed charges by $33.3 million.

(b)
We adopted the provisions of Financial Accounting Standards Board Interpretation No. 48, or "FIN 48," "Accounting for Uncertainty in Income Taxes—an Interpretation of FASB Statement No. 109" on January 1, 2007. Accrued interest expense, for the year ended December 31, 2007, of approximately $3.4 million is excluded from both fixed charges and earnings.



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HERTZ GLOBAL HOLDINGS, INC. AND SUBSIDIARIES COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES (UNAUDITED) (In Thousands of Dollars Except Ratios)