EX-12.1 2 dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

Computation of Ratio of Earnings to Fixed Charges

 

    Year-ended December 31,     Six Months Ended
July 4, 2009
 
    2004     2005     2006     2007     2008    
    (In thousands, except ratios)        
Earnings            

Earnings/(loss) before income taxes and noncontrolling interests

  $ 1,806,731      $ 2,137,733      $ 2,911,556      $ 2,546,816      $ 3,104,391      $ (482,504 ) 

Plus/(Less): losses/(earnings) from equity investments

    (4,070 )      (476 )      17,690        24,618        36,920        59,798   

Plus: fixed charges (includes interest expense and amortization of bond issuance costs and settled swaps and estimated interest on rent expense)

    30,645        36,571        40,351        55,402        146,360        87,272   

Plus: amortization of capitalized interest

    108        216        216        216        300        276   

Plus: distributed income of equity investees

    —          —          3,172        8,072        20,117        6,317   

Less: interest capitalized

    (1,310 )      —          —          (3,700 )      (10,020 )      (11,110 ) 

Less: pre-tax earnings in noncontrolling interests in subsidiaries that have not incurred fixed charges

    (80,840 )      (110,650 )      (219,121 )      (293,604 )      (314,277 )      (5,683 ) 
                                               

Total earnings/(loss) before fixed charges

  $ 1,751,264      $ 2,063,394      $ 2,753,864      $ 2,337,820      $ 2,983,791      $ (345,634 ) 
                                               
Fixed charges            

Interest expense and amortization of bond issuance and settled swaps

    30,645        36,571        40,351        55,052        144,845        86,270   

Estimated interest on rent expense

    —          —          —          350        1,515        1,002   
                                               

Total Fixed Charges

    30,645        36,571        40,351        55,402        146,360        87,272   
                                               
Ratio of earnings to fixed charges     57.15        56.42        68.25        42.20        20.39        *   

 

* Earnings for the six months ended July 4, 2009 were inadequate to cover fixed charges. The coverage deficiency was $432,906.