Penske Automotive (PAG) 10-Q 2008 Q1 Quarterly report

Exhibit 12

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

	Three Months
	Ended March 31,					Year Ended December 31,
	2008			2007		2007			2006			2005			2004			2003
Income from continuing operations before taxes and minority interests	$	53.4		$	25.6	$	195.5		$	202.5		$	187.3		$	176.0		$	131.9
Less undistributed earnings of equity method investments	$	(1.4	)	$	0.8	$	(4.1	)	$	(8.2	)	$	(4.3	)	$	(5.8	)	$	(0.4	)
Plus distributed earnings of equity method investments	$	0.8		$	1.2	$	6.2		$	0.3		$	—		$	1.3		$	—
Plus amortization of capitalized interest	$	0.2		$	0.2	$	0.6		$	0.5		$	0.3		$	0.2		$	0.2
	$	53.0		$	27.8	$	198.2		$	195.1		$	183.3		$	171.7		$	131.7
Plus:
Fixed charges:
Other Interest expense (includes amortization of deferred financing costs)	$	12.0		$	18.8	$	56.1		$	49.1		$	48.9		$	42.9		$	42.4
Floorplan interest expense	$	17.3		$	15.8	$	74.4		$	59.6		$	46.1		$	40.8		$	36.0
Capitalized interest	$	1.4		$	1.4	$	5.5		$	7.1		$	4.0		$	2.9		$	2.3
Interest factor in rental expense	$	13.3		$	12.0	$	50.0		$	43.6		$	35.1		$	27.5		$	22.9
Total fixed charges	$	44.0		$	48.0	$	186.0		$	159.4		$	134.1		$	114.1		$	103.6
Less:
Capitalized interest	$	1.4		$	1.4	$	5.5		$	7.1		$	4.0		$	2.9		$	2.3
Earnings	$	95.6		$	74.4	$	378.7		$	347.4		$	313.4		$	282.9		$	233.0
Ratio of earnings to fixed charges		2.2			1.6		2.0			2.2			2.3			2.5			2.3