EX-12.1 3 a2018q2ex121.htm EXHIBIT 12.1 Exhibit

Exhibit 12.1
VECTOR GROUP LTD.
Computation of Ratio of Earnings to Fixed Charges
(Dollars in Thousands, Except Ratios)
(Unaudited)
 Six Months Ended June 30, 2018 2017 2017 2016 2015 2014 2013 Earnings as defined: Pre-tax income \$ 37,368 \$ 43,366 \$ 89,168 \$ 126,429 \$ 107,705 \$ 82,279 \$ 60,720 Distributions from investees 9,321 28,332 39,431 24,793 7,152 6,568 6,262 Interest expense 73,084 76,207 137,766 111,272 96,236 146,787 147,084 (Income) loss in equity of affiliate 2,697 (23,884 ) (20,630 ) (2,446 ) 680 (7,243 ) (26,051 ) Interest portion of rental expense (1) 6,321 4,971 11,619 9,079 8,149 7,505 2,174 Total earnings \$ 128,791 \$ 128,992 \$ 257,354 \$ 269,127 \$ 219,922 \$ 235,896 \$ 190,189 Fixed charges as defined: Interest expense \$ 73,084 \$ 76,207 \$ 137,766 \$ 111,272 \$ 96,236 \$ 146,787 \$ 147,084 Interest portion of rent expense (1) 6,321 4,971 11,619 9,079 8,149 7,505 2,174 Total fixed charges \$ 79,405 \$ 81,178 \$ 149,385 \$ 120,351 \$ 104,385 \$ 154,292 149,258 Ratio of earnings to fixed charges 1.62 1.59 1.72 2.24 2.11 1.53 1.27

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(1) One third of rent expense is the portion deemed representative of the interest factor.