Exhibit 12
AIRGAS, INC.
COMPUTATION OF FINANCIAL RATIOS
(In thousands, except ratios)
COMPUTATION OF FINANCIAL RATIOS
(In thousands, except ratios)
Three | ||||||||||||||||||||||||
Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
Ratio of Earnings to Fixed Charges | 2005 | 2006 | 2007 | 2008 | 2009 | 6/30/09 | ||||||||||||||||||
EARNINGS COMPUTATION: | ||||||||||||||||||||||||
Add: | ||||||||||||||||||||||||
Pretax income from continuing operations before equity earnings and minority interest | $ | 147,627 | $ | 208,037 | $ | 257,144 | $ | 370,762 | $ | 429,353 | $ | 89,132 | ||||||||||||
Fixed charges | 83,139 | 93,205 | 107,340 | 144,302 | 134,433 | 29,730 | ||||||||||||||||||
$ | 230,766 | $ | 301,242 | $ | 364,484 | $ | 515,064 | $ | 563,786 | $ | 118,862 | |||||||||||||
Subtract: | ||||||||||||||||||||||||
Preferred dividend requirements of consolidated affiliate | (4,626 | ) | (4,589 | ) | (4,589 | ) | (1,147 | ) | — | — | ||||||||||||||
Capitalized interest | — | — | (502 | ) | (1,647 | ) | (3,400 | ) | (671 | ) | ||||||||||||||
Earnings for purposes of computation | $ | 226,140 | $ | 296,653 | $ | 359,393 | $ | 512,270 | $ | 560,386 | $ | 118,191 | ||||||||||||
FIXED CHARGES COMPUTATION: | ||||||||||||||||||||||||
Interest expense(1). | $ | 57,547 | $ | 64,067 | $ | 76,227 | $ | 110,888 | $ | 101,279 | $ | 21,337 | ||||||||||||
Estimate of the interest component of rent expense | 20,966 | 24,549 | 26,524 | 32,267 | 33,154 | $ | 8,393 | |||||||||||||||||
Preferred dividend requirements of consolidated affiliates(2) | 4,626 | 4,589 | 4,589 | 1,147 | — | — | ||||||||||||||||||
Fixed charges for purposes of computation | $ | 83,139 | $ | 93,205 | $ | 107,340 | $ | 144,302 | $ | 134,433 | $ | 29,730 | ||||||||||||
RATIO OF EARNINGS TO FIXED CHARGES | 2.72 | X | 3.18 | X | 3.35 | X | 3.55 | X | 4.17 | X | 3.98 | X |
(1) | Includes capitalized interest, amortization of capitalized financing costs and discount on trade receivable securitization. | |
(2) | Preferred stock of National Welders was converted to Airgas common stock on July 3, 2007. |