EX-12.1 7 dp16586_ex1201.htm EXHIBIT 12.1
 
 
Exhibit 12.1
PATRIOT COAL CORPORATION
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
(Dollars in thousands)
 
   
Year Ended December 31,
 
   
2009
   
2008
   
2007
   
2006
   
2005
 
Ratio of Earnings to Fixed Charges:
                             
Earnings:
                             
Pre-tax income from continuing operations before adjustment for noncontrolling interest in consolidated subsidiaries or income or loss from equity investees
  $ 126,846     $ 143,643     $ (102,209 )   $ 5,967     $ 19,209  
Add:
                                       
Fixed Charges
    50,226       32,820       14,712       17,096       15,922  
Amortization of capitalized interest
    268       212       203       157       122  
Distributions from equity investees
    1,000                   9,935       7,552  
Less:
                                       
Interest capitalized
    (554 )     (89 )     (464 )     (348 )     (106 )
Distributions on preferred securities of consolidated subsidiaries
                             
Total earnings
  $ 177,786     $ 176,586     $ (87,758 )   $ 32,807     $ 42,699  
                                         
Fixed charges:
                                       
Interest expense
  $ 34,392     $ 21,037     $ 8,123     $ 11,419     $ 9,833  
Interest capitalized
    554       89       464       348       106  
Amortization of capitalized expenses related to indebtedness
    3,716       2,611       214              
Rental Expense interest factor
    11,564       9,083       6,196       5,685       5,983  
Distributions on preferred securities of consolidated subsidiaries
                             
Noncontrolling Interest share of fixed charges
                (285 )     (356 )      
Total fixed charges
  $ 50,226     $ 32,820     $ 14,712     $ 17,096     $ 15,922  
Ratio of earnings to fixed charges
    3.5x     5.4x (1)     N/A       1.9x       2.7x  
Coverage deficiency
    N/A       N/A     $ 102,470 (2)     N/A       N/A  
 
(1)
The ratio of earnings to fixed charges for the year ended December 31, 2008 has been adjusted to reflect the retrospective application of authoritative guidance.
 
(2)
Represents the dollar amount of the coverage deficiency, as earnings are inadequate to cover fixed charges.