EX-12 4 r10q-060912.htm EXHIBIT 12

Exhibit 12

LEGG MASON, INC. AND SUBSIDIARIES

Computation of Consolidated Ratios of Earnings to Fixed Charges

(Dollars in thousands)

 


 

Three Months Ended

June 30,

Years Ended March 31,

 

2009

2009

2008

2007

2006

Earnings (loss) from operations before income tax provision

$  80,704

$ (3,188,197)

$ 437,327

$ 1,043,854

$ 715,462

Fixed Charges:

 

 

 

 

 

Interest Expense

43,390

182,805

89,225

71,474

52,648

Interest on uncertain tax positions included in earnings from operations before income tax provision1

1,202

5,217

1,232

(649)

780

Portion of rental expenses representative of interest factor2

9,372

37,487

39,080

32,383

15,969

Earnings (loss) available for fixed charges

$ 134,668

$ (2,962,688)

$ 566,864

$ 1,147,062

$ 784,859

Fixed Charges:

 

 

 

 

 

Interest Expense

$   43,390

$     182,805

$   89,225

$      71,474

$   52,648

Interest expense included in interest expense not related to third party indebtedness1

(1,202)

(5,217)

(1,232)

649

(780)

Portion of rental expense representative of interest factor2

9,372

37,487

39,080

32,383

15,969

Total Fixed Charges

$   51,560

$     215,075

$ 127,073

$    104,506

$   67,837

Consolidated ratio of earnings (loss) to fixed charges

2.6

(13.8)

4.5

11.0

11.6



1)

The portion of interest related to uncertain tax positions is excluded from the calculation.

2)

The portion of rental expense representative of interest factor is calculated as one third of the total of Rent, Marketing Data Services, Maintenance, DP Service Bureau and Equipment Rental expenses.