Exhibit 12.1
SONIC AUTOMOTIVE, INC. AND SUBSIDIARIES
Ratio of Earnings to Fixed Charges
(dollars in thousands) | Six Months Ended June 30, |
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2004 | 2005 | 2006 | 2007 | 2008 | 2008 | 2009 | ||||||||||||||||||||||
Fixed charges: |
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Interest expense, other & FSP APB 14-1 interest |
$ | 41,165 | $ | 45,182 | $ | 46,382 | $ | 47,355 | $ | 67,022 | $ | 30,238 | $ | 44,452 | ||||||||||||||
Capitalized interest |
2,795 | 2,328 | 3,651 | 2,463 | 1,543 | 837 | 657 | |||||||||||||||||||||
Rent expense (interest factor) |
20,188 | 23,685 | 29,232 | 30,424 | 30,432 | 13,826 | 14,888 | |||||||||||||||||||||
Total fixed charges |
64,148 | 71,195 | 79,265 | 80,242 | 98,997 | 44,901 | 59,997 | |||||||||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle |
122,524 | 143,687 | 125,278 | 159,255 | (783,701 | ) | 52,245 | 12,416 | ||||||||||||||||||||
Add: Fixed charges |
64,148 | 71,195 | 79,265 | 80,242 | 98,997 | 44,901 | 59,997 | |||||||||||||||||||||
Less: Capitalized interest |
(2,795 | ) | (2,328 | ) | (3,651 | ) | (2,463 | ) | (1,543 | ) | (837 | ) | (657 | ) | ||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle & fixed charges |
$ | 183,877 | $ | 212,554 | $ | 200,892 | $ | 237,034 | $ | (686,247 | ) | $ | 96,309 | $ | 71,756 | |||||||||||||
Ratio of earnings to fixed charges |
2.9 x | 3.0 x | 2.5 x | 3.0 x | (785,244 | )(1) | 2.1 x | 1.2 x |
(1) | Reflects deficiency of earnings available to cover fixed charges. Because of the deficiency, ratio information is not provided. |
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