Exhibit 12.1
Computation of Ratio of Earnings to Combined Fixed Charges and Preference Dividends
Six Months Ended June 30 | ||||||||
2008 | 2007 | |||||||
Earnings: | ||||||||
Pretax income excluding income or loss from equity investments | $ | 247,071 | $ | 69,278 | ||||
Adjustments: | ||||||||
Fixed charges | 45,465 | 47,553 | ||||||
Distributed income from equity investments | 930 | 997 | ||||||
Capitalized interest, net of amortization | (3,183 | ) | (10,410 | ) | ||||
Arch Western Resources, LLC dividends on preferred membership interest | (61 | ) | (50 | ) | ||||
Total earnings | $ | 290,222 | $ | 107,368 | ||||
Fixed charges: | ||||||||
Interest expense | 39,209 | $ | 35,991 | |||||
Capitalized interest | 5,048 | 10,570 | ||||||
Arch Western Resources, LLC dividends on preferred membership interest | 61 | 50 | ||||||
Portions of rent which represent an interest factor 3 | 1,147 | 942 | ||||||
Total fixed charges | 45,465 | $ | 47,553 | |||||
Preferred stock dividends | 18 | 44 | ||||||
Total fixed charges and preferred stock dividends | $ | 45,483 | $ | 47,597 | ||||
Ratio of earnings to combined fixed charges and preference dividends | 6.38x | 2.26x | ||||||