EX-12 2 a50571587ex_12.htm EXHIBIT 12 a50571587ex_12.htm
EXHIBIT 12
                                        
                                     
CHEMED CORPORATION
  
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
  
(in thousands, except ratios)
  
                                         
   
2008
      
2009
      
2010
      
2011
      
2012
    
                                         
Pretax income from continuing operations
   $ 115,404       $ 120,620       $ 133,831       $ 140,556       $ 145,819    
                                                   
Additions:
                                                  
     Fixed charges
     18,983         18,840         19,139         21,231         22,698    
     Amortization of capitalized interest
     5         5         331         438         435    
                                                   
Deductions:
                                                  
     Capitalized interest
     (659 )       (258 )       -         -         -    
 
                                                  
          Adjusted income
   $ 133,733       $ 139,207       $ 153,301       $ 162,225       $ 168,952    
                                                   
Fixed Charges:
                                                  
     Interest expense
   $ 12,123       $ 11,599       $ 11,959       $ 13,888       $ 14,723    
     Capitalized interest
     659         258         -         -         -    
     Interest component of rental expense
     6,201         6,983         7,180         7,343         7,975    
 
                                                  
          Fixed charges
   $ 18,983       $ 18,840       $ 19,139       $ 21,231       $ 22,698    
                                                   
Ratio of earnings to fixed charges (a)
     7.0   x     7.4   x     8.0   x     7.6   x     7.4   x 
                                                   
Additional earnings needed to achieve 1:1 ratio coverage
  
n.a.
      
n.a.
      
n.a.
      
n.a.
      
n.a.
    
                                                   
                                                   
                                                   
(a) For purposes of computing the ratio of earnings to fixed charges, pretax income from continuing operations has been added to fixed charges and adjusted for capitalized interest to derive adjusted income. Fixed charges consist of interest expense on debt (including the amortization of deferred financing costs), capitalized interest, prepayment penalties on the early extinguishment of debt and one-third (the proportion deemed representative of the interest component) of rental expense. Fixed charge amounts include interest from both continuing and discontinued operations.    

41