SONIC AUTOMOTIVE, INC. AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES
Exhibit 12.1
| Six Months Ended June 30, | Year Ended December 31, | |||||||||||||||||||||||||||
| (In thousands) | 2012 | 2011 | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||||
Fixed charges: | ||||||||||||||||||||||||||||
Interest expense, excluding floor plan interest | $ | 32,181 | $ | 36,200 | $ | 71,255 | $ | 79,032 | $ | 92,897 | $ | 72,417 | $ | 47,330 | ||||||||||||||
Capitalized interest | 162 | 1,422 | 2,290 | 2,330 | 702 | 1,543 | 2,463 | |||||||||||||||||||||
Rent expense (interest factor) | 13,823 | 15,343 | 29,771 | 30,738 | 31,290 | 31,380 | 31,753 | |||||||||||||||||||||
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Total fixed charges | 46,166 | 52,965 | 103,316 | 112,100 | 124,889 | 105,340 | 81,546 | |||||||||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle | ||||||||||||||||||||||||||||
| 70,355 | 62,826 | 125,101 | 78,042 | 27,655 | (756,917 | ) | 169,404 | |||||||||||||||||||||
Add: Fixed charges | 46,166 | 52,965 | 103,316 | 112,100 | 124,889 | 105,340 | 81,546 | |||||||||||||||||||||
Less: Capitalized interest | (162 | ) | (1,422 | ) | (2,290 | ) | (2,330 | ) | (702 | ) | (1,543 | ) | (2,463 | ) | ||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle & fixed charges | $ | 116,359 | $ | 114,369 | $ | 226,127 | $ | 187,812 | $ | 151,842 | $ | (653,120 | ) | $ | 248,487 | |||||||||||||
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Ratio of earnings to fixed charges | 2.5 x | 2.2 x | 2.2 x | 1.7 x | 1.2 x | $ | (758,460 | ) (1) | 3.0 x | |||||||||||||||||||
| (1) | Reflects deficiency of earnings available to cover fixed charges for the year ended December 31, 2008. Because of this deficiency, ratio information is not provided. |