EX-12 4 sonocos-4ex12.txt Exhibit 12 SONOCO PRODUCTS COMPANY Computation of Ratio of Earnings to Fixed Charges (Dollars in Thousands)
Six Months Ended June 27, Years Ended December 31, -------- ------------------------ 2004 2003 2002 2001 2000 1999 ---- ---- ---- ---- ---- ---- EARNINGS Pretax income - as reported ........................... 91,101 108,333 183,106 159,979 258,562 262,580 Less: (Gain) or Loss on assets held for sale ......... - - - - (5,182) (3,500) -------- -------- -------- -------- -------- -------- Pretax income - adjusted .............................. 91,101 108,333 183,106 159,979 253,380 259,080 Add: Fixed charges ................................... 28,340 66,329 67,128 67,183 76,094 67,509 Amortization of capitalized interest ............ 934 1,868 2,136 2,403 1,209 566 -------- -------- -------- -------- -------- -------- Total Earnings ............................................. 120,375 176,530 252,370 229,565 330,683 327,155 Less: Capitalized Interest ................................. (990) (2,000) (1,750) (2,085) (3,449) (2,000) -------- -------- -------- -------- -------- -------- Adjusted Earnings .......................................... 119,385 174,530 250,620 227,480 327,234 325,155 ======== ======== ======== ======== ======== ======== FIXED CHARGES Interest expense ...................................... 21,441 52,399 54,196 52,217 59,604 52,466 Capitalized interest .................................. 990 2,000 1,750 2,085 3,449 2,000 Amortization of bond discounts ........................ 242 597 615 711 508 210 Portion of rents representative of the interest factor .................................... 5,667 11,333 10,567 12,170 12,533 12,833 -------- -------- -------- -------- -------- -------- Total Fixed Charges ........................................ 28,340 66,329 67,128 67,183 76,094 67,509 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges ......................... 4.21 2.63 3.73 3.39 4.30 4.82 ======== ======== ======== ======== ======== ========
SONOCO PRODUCTS COMPANY Computation of Pro Forma Ratio of Earnings to Fixed Charges (Dollars in Thousands)
Six Months Ended Year Ended June 27, 2004 December 31, 2003 ------------- ----------------- EARNINGS Pretax income - as reported ................................................... 87,737 101,651 Less: (Gain) or Loss on assets held for sale ................................. - - ------- ------- Pretax income - adjusted ...................................................... 87,737 101,651 Add: Fixed charges ........................................................... 31,754 73,115 Amortization of capitalized interest .................................... 934 1,868 ------- ------- Total Earnings ..................................................................... 120,426 176,633 Less: Capitalized Interest ......................................................... (990) (2,000) ------- ------- Adjusted Earnings .................................................................. 119,436 174,633 ======= ======= FIXED CHARGES Interest expense .............................................................. 24,805 59,082 Capitalized interest .......................................................... 990 2,000 Amortization of bond discounts ................................................ 293 700 Portion of rents representative of the interest factor ............................................................ 5,667 11,333 ------- ------- Total Fixed Charges ................................................................ 31,754 73,115 ======= ======= Ratio of Earnings to Fixed Charges, pro forma ...................................... 3.76 2.39 ======= ======= Ratio of Earnings to Fixed Charges, as reported .................................... 4.21 2.63 Percentage Change .................................................................. (11%) (9%) Proceeds of New Debt ............................................................... 150,000 Additional Interest Expense (5.625%) ............................................... 4,127 8,438 Reduction of Interest Expense (1.17%) 2003 ......................................... - (1,755) Reduction of Interest Expense (1.04%) 2004 ......................................... (763) - ------- ------- Total Adjustment to Interest Expense ............................................... 3,364 6,683 Additional Amortization of Bond Discounts .......................................... 51 103