EXHIBIT 12.1
AMC ENTERTAINMENT INC. AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES
(Dollars in thousands)
RATIO OF EARNINGS TO FIXED CHARGES
| | Pro Forma 52 Weeks Ended March 31, 2011 | Actual 52 Weeks Ended March 31, 2011 | Actual 52 Weeks Ended April 1, 2010 | Actual 52 Weeks Ended April 2, 2009 | Actual 53 Weeks Ended April 3, 2008 | Actual 52 Weeks Ended March 29, 2007 | ||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
EARNINGS | ||||||||||||||||||||||
Earnings (loss) from continuing operations before income taxes or equity in (earnings) losses of non-consolidated entities | $ | (147,600 | ) | $ | (138,650 | ) | $ | (21,776 | ) | $ | (109,923 | ) | $ | 11,244 | $ | (59,833 | ) | |||||
Add:Fixed charges (below) | 309,961 | 308,387 | 279,012 | 284,622 | 303,346 | 357,743 | ||||||||||||||||
Amortization of capitalized interest | 1,477 | 1,477 | 1,522 | 1,623 | 1,493 | 2,395 | ||||||||||||||||
Distributed income of equity investees | 35,502 | 35,502 | 34,463 | 29,978 | 43,553 | 236,260 | ||||||||||||||||
Less:Interest capitalized (below) | (64 | ) | (64 | ) | (14 | ) | (415 | ) | (1,114 | ) | (1,760 | ) | ||||||||||
Earnings for ratio | 199,275 | 206,652 | 293,207 | 205,885 | 358,522 | 534,805 | ||||||||||||||||
FIXED CHARGES: | ||||||||||||||||||||||
Interest on borrowings | 143,522 | 143,522 | 126,458 | 115,757 | 131,157 | 188,809 | ||||||||||||||||
Interest on capital and financing lease obligations | 6,370 | 6,198 | 5,652 | 5,990 | 6,505 | 4,669 | ||||||||||||||||
Interest-discontinued operations | — | — | — | 7,881 | 11,927 | 13,394 | ||||||||||||||||
Interest capitalized | 64 | 64 | 14 | 415 | 1,114 | 1,760 | ||||||||||||||||
Estimated interest portion of rental expense (1) | 160,005 | 158,603 | 146,888 | 149,601 | 146,463 | 142,681 | ||||||||||||||||
Estimated interest portion of rental expense (1)- discontinued operations | — | — | — | 4,978 | 6,180 | 6,430 | ||||||||||||||||
Fixed Charges | 309,961 | 308,387 | 279,012 | 284,622 | 303,346 | 357,743 | ||||||||||||||||
FIXED CHARGES IN EXCESS OF EARNINGS | $ | 110,685 | $ | 101,735 | $ | — | $ | 78,737 | $ | — | $ | — | ||||||||||
RATIO OF EARNINGS TO FIXED CHARGES | — | — | 1.1 | — | 1.2 | 1.5 | ||||||||||||||||
The ratio of earnings to fixed charges represents the number of times fixed charges are covered by earnings. For purposes of computing this ratio, earnings consist of earnings (loss) from continuing operations before income taxes or equity in (earnings) losses of non-consolidated entities, plus fixed charges (excluding capitalized interest), amortization of capitalized interest, and distributed income of equity investees. Fixed charges consist of interest expense, interest capitalized and one-third of rent expense on operating leases, estimated by the Company to be representative of the interest factor attributable to such rent expense.
- (1)
- Used one-third of rent expense on operating leases.