Lamar Advertising (LAMR) 10-Q 2016 Q2 Quarterly report

Exhibit 12(a)

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES⁽¹⁾

The following table sets forth Lamar Advertising’s ratio of earnings to fixed charges for the periods indicated.

	Years Ended December 31,											Six Months Ended June 30,
(dollars in thousands)	2011		2012		2013		2014			2015		2016		2015
Net income	$	6,858	$	7,890	$	40,139	$	253,518		$	262,570	$	133,223	$	100,076
Income tax expense (benefit)		5,542		8,242		22,841		(110,092	)		22,058		6,117		17,306
Fixed charges		239,842		227,520		221,584		182,472			179,881		105,696		89,069
Earnings		252,242		243,652		284,564		325,898			464,509		245,036		206,451
Interest expense, net		170,524		156,762		146,112		105,152			98,399		61,363		49,218
Rents under leases representative of an interest    factor (1/3)		68,953		70,393		75,107		76,955			81,117		44,151		39,669
Preferred dividends		365		365		365		365			365		182		182
Fixed charges		239,842		227,520		221,584		182,472			179,881		105,696		89,069
Ratio of earnings to fixed charges	1.1x		1.1x		1.3x		1.8x			2.6x		2.3x		2.3x

⁽¹⁾ The ratio of earnings to fixed charges is defined as earnings divided by fixed charges. For purposes of this ratio, earnings is defined as net income before income taxes and cumulative effect of a change in accounting principle and fixed charges. Fixed charges is defined as the sum of interest expense, preferred stock dividends and the component of rental expense that we believe to be representative of the interest factor for those amounts.