MCCLATCHY CO - FORM 10-K - EX-12 - COMPUTATION OF EARNINGS TO FIXED CHARGES - March 2, 2010

Attached files

file filename
10-K - FORM 10-K - MCCLATCHY COd10k.htm
EX-23 - CONSENT OF DELOITTE & TOUCHE LLP - MCCLATCHY COdex23.htm
EX-21 - SUBSIDIARIES OF THE COMPANY - MCCLATCHY COdex21.htm
EX-32.2 - CERTIFICATION OF THE CHIEF FINANCIAL OFFICER - MCCLATCHY COdex322.htm
EX-31.2 - CERTIFICATION OF THE CHIEF FINANCIAL OFFICER - MCCLATCHY COdex312.htm
EX-32.1 - CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER - MCCLATCHY COdex321.htm
EX-31.1 - CERTIFICATION OF THE CHIEF EXECUTIVE OFFICER - MCCLATCHY COdex311.htm

Exhibit 12

COMPUTATION OF EARNINGS TO FIXED CHARGES RATIO

(in thousands of dollars, except ratio data)

 

     Year Ended  
     Dec 27,
2009		     Dec 28,
2008		     Dec 30,
2007		     Dec 31,
2006		  

Fixed Charge Computation

         

Interest Expenses:

         

Net interest expense

    $ 127,276      $ 157,385      $ 197,997      $ 93,664   

Plus Capitalized interest

      200        192        468        2,148   
                                

Gross interest

      127,476        157,577        198,465        95,812   

Interest on Unrecognized Tax Benefits (1)

      (920 )      (9,478 )      (7,270 )      —     

Amortization of debt discount

      (7,442 )      (4,911 )      (2,352 )      (1,174 ) 

Interest Component of Rent Expense

      5,501        6,098        5,679        5,287   
                                

Total Fixed Charges

    $ 124,615      $ 149,286      $ 194,522      $ 99,925   
                                

Earnings Computation

         

Income from Continuing Operations

         

Before Income Taxes

    $ 89,411      $ 22,085      $ (2,883,191 )    $ 270,885   

(Earnings) Losses of Equity Investments

      (2,130 )      14,021        36,899        (4,951 ) 

Impairment Related Charge Recorded by Equity Investee (2)

      2,022        16,947        —          —     

Interest on Unrecognized Tax Benefits

      920        9,478        7,270        —     

Distributed Income of Equity Investees

      1,135        1,740        7,424        4,345   

Add: Fixed Charges

      124,615        149,286        194,522        99,925   

Less: Capitalized Interest

      (200 )      (192 )      (468 )      (2,148 ) 
                                

Total Earnings as Adjusted

    $ 215,773      $ 213,365      $ (2,637,544 )    $ 368,056   
                                

Ratio Of Earnings to Fixed Charges (3)

      1.73        1.43        —          3.68   

The Company had no registered debt securities prior to the

Acquisition on June 27, 2006.

 

 

(1) The Company began recording the interest on unrecognized tax benefits in interest expense in fiscal 2007 when it adopted FIN 48.
(2) Reflects the Company’s portion of loss related to an impairment and recorded in “Write-down of investments and land held for sale” in the Consolidated Statement of Income.
(3) Earnings were inadequate to cover fixed charges by $2.6 billion for the year ended December 30, 2007, as a result of non-cash impairment charges of $3.0 billion.

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