Exhibit 12.1
WPP Group plc
Statement of Computation of Earnings to Fixed Charges
US GAAP
The following table shows the ratios of earnings to fixed charges of WPP Group plc for the period indicated.
| | | | | | | | | | | | |
| | | For the six
months ended
June 30,
| | For the years ended December 31,
|
| | | 2004
| | 2003
| | 2002
| | 2001
| | 2000
| | 1999
|
| | | ( In £ millions, except ratio information) |
EARNINGS | | | | | | | | | | | | |
Operating profit (excluding associate income) | | 177.2 | | 321.0 | | 243.1 | | 242.7 | | 247.9 | | 163.0 |
Dividend from unconsolidated subsidiaries | | 9.5 | | 15.6 | | 9.4 | | 14.7 | | 7.6 | | 4.3 |
Interest expense | | 44.1 | | 84.8 | | 105.6 | | 91.6 | | 56.6 | | 33.8 |
Interest component of rent expense | | 33.1 | | 69.3 | | 69.1 | | 62.2 | | 41.7 | | 27.7 |
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TOTAL EARNINGS | | 263.9 | | 490.7 | | 427.2 | | 411.2 | | 353.8 | | 228.8 |
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FIXED CHARGES | | | | | | | | | | | | |
Interest expense | | 44.1 | | 84.8 | | 105.6 | | 91.6 | | 56.6 | | 33.8 |
Interest component of rent expense | | 33.1 | | 69.3 | | 69.1 | | 62.2 | | 41.7 | | 27.7 |
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TOTAL FIXED CHARGES | | 77.2 | | 154.1 | | 174.7 | | 153.8 | | 98.3 | | 61.5 |
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RATIO OF EARNINGS TO FIXED CHARGES (1) | | 3.42 | | 3.18 | | 2.45 | | 2.67 | | 3.60 | | 3.72 |
(1) The ratio of earnings to fixed charges has been computed by dividing total earnings by total fixed charges. Coverage deficiencies have been computed by subtracting fixed charges from total earnings. Earnings were calculated by adding (1) income before income taxes, (2) dividends from unconsolidated companies and (3) fixed charges. Fixed charges consist of interest and one-third rent expense as representative of the interest portion of rentals.
WPP Group plc
Statement of Computation of Earnings to Fixed Charges
UK GAAP
The following table shows the ratios of earnings to fixed charges of WPP Group plc for the period indicated.
| | | | | | | | | | | | |
| | | For the six
months ended
June 30,
| | For the years ended December 31,
|
| | | 2004
| | 2003
| | 2002
| | 2001
| | 2000
| | 1999
|
| | | (In £ millions, except ratio information) |
EARNINGS | | | | | | | | | | | | |
Operating profit (excluding associate income) | | 194.6 | | 415.3 | | 272.5 | | 505.5 | | 379.4 | | 265.0 |
plus dividends and receipts from associates | | 9.5 | | 15.6 | | 9.4 | | 14.7 | | 7.6 | | 4.3 |
Interest expense | | 49.1 | | 89.8 | | 109.6 | | 91.6 | | 56.6 | | 33.8 |
Interest component of rental expense | | 33.1 | | 69.3 | | 69.1 | | 62.2 | | 41.7 | | 27.7 |
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TOTAL EARNINGS | | 286.3 | | 590.0 | | 460.6 | | 674.0 | | 485.3 | | 330.8 |
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FIXED CHARGES | | | | | | | | | | | | |
Interest expense | | 49.1 | | 89.8 | | 109.6 | | 91.6 | | 56.6 | | 33.8 |
Interest component of rent expense | | 33.1 | | 69.3 | | 69.1 | | 62.2 | | 41.7 | | 27.7 |
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TOTAL FIXED CHARGES | | 82.2 | | 159.1 | | 178.7 | | 153.8 | | 98.3 | | 61.5 |
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RATIO OF EARNINGS TO FIXED CHARGES(1) | | 3.48 | | 3.71 | | 2.58 | | 4.38 | | 4.94 | | 5.38 |
(1) The ratio of earnings to fixed charges has been computed by dividing total earnings by total fixed charges. Coverage deficiencies have been computed by subtracting fixed charges from total earnings. Earnings were calculated by adding (1) income before income taxes, (2) dividends from unconsolidated companies and (3) fixed charges. Fixed charges consist of interest and one-third rent expense as representative of the interest portion of rentals.
