Community Health Systems (CYH) 10-K 2010 FY Annual report

Exhibit 12

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(DOLLARS IN THOUSANDS)

	Year Ended December 31,
	2006			2007			2008			2009			2010
Earnings
Income from continuing operations before provision for income taxes and extraordinary item	$	287,847		$	107,291		$	359,000		$	446,130		$	508,434
Income from equity investees (1)		—			(25,132	)		(42,063	)		(36,521	)		(45,432	)
Distributed income from equity investees		—			19,902			32,897			33,705			33,829
Interest and amortization of deferred finance costs		94,411			362,065			652,468			648,964			651,926
Amortization of capitalized interest		567			881			1,469			2,024			2,432
Implicit rental interest expense		22,986			38,424			57,792			61,783			64,380
Total Earnings	$	405,811		$	503,431		$	1,061,563		$	1,156,085		$	1,215,569
Fixed Charges
Interest and amortization of deferred finance costs	$	94,411		$	362,065		$	652,468		$	648,964		$	651,926
Capitalized interest		2,955			19,009			22,147			16,695			11,902
Implicit rental interest expense		22,986			38,424			57,792			61,783			64,380
Total fixed charges	$	120,352		$	419,498		$	732,407		$	727,442		$	728,208
Ratio of earnings to fixed charges		3.37	x		1.20	x		1.45	x		1.59	x		1.67	x

(1) The Company recognized an immaterial amount of income from equity investees prior to 2007.