EX-12.1 15 a2197699zex-12_1.htm EXHIBIT 12.1

Exhibit 12.1

 

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

Our ratio of earnings to fixed charges was as follows for the periods presented:

(Amounts in thousands of Canadian dollar)

 

 

 

Predecessor

 

Successor

 

 

 

Year ended December 31,

 

January
1 to
December
12

 

December
13 to
December
31

 

Year
ended
December
31,

 

 

 

2005

 

2006

 

2007

 

2008

 

2008

 

2009

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net income (loss) before income taxes, discontinued operations and cumulative effect of accounting change

 

$

47,715

 

$

99,334

 

$

96,162

 

$

86,517

 

$

6,010

 

$

(75,598

)

Loss (income) from associates

 

—

 

99

 

(55

)

336

 

21

 

54

 

Fixed charges

 

8,029

 

10,872

 

12,050

 

12,443

 

3,588

 

86,119

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total earnings

 

$

55,744

 

$

110,305

 

$

108,157

 

$

99,296

 

$

9,619

 

$

10,575

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

$

5,260

 

$

7,545

 

$

8,266

 

$

8,335

 

$

3,431

 

$

80,858

 

Portion of rent expense representative of an interest factor

 

2,769

 

3,327

 

3,784

 

4,108

 

157

 

5,251

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total fixed charges

 

$

8,029

 

$

10,872

 

$

12,050

 

$

12,443

 

$

3,588

 

$

86,119

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio/deficit of earnings to fixed charges (1)(2)

 

6.9

x

10.1

x

9.0

x

8.0

x

2.7

x

$

(75,544

)

 

(1)                               The ratio has been computed in accordance with Canadian GAAP and the differences under U.S. GAAP are not material.  For the purpose of calculating the ratio of earnings to fixed charges, earnings consist of income before income taxes and before adjustment for income / loss from associates plus fixed charges.  Fixed charges consist of interest expense, including the interest element of operating leases, which is calculated as one-third of the related lease charge, which management believes is a reasonable approximation of the interest factor.

 

(2)                               Where the earnings are not sufficient and the ratio is less than 1.0x, the amount of the deficiency is disclosed, which represents the amount of earnings required to attain a ratio of 1.0x.