Exhibit 12.1
ACCO Brands Corporation
Computation of Ratio of Earnings to Fixed Charges
(Unaudited)
Computation of Ratio of Earnings to Fixed Charges
(Unaudited)
For the year ended December 31, | ||||||||||||||||||||
(in millions of dollars, except ratios) | 2009 | 2008 | 2007 | 2006 | 2005 | |||||||||||||||
Earnings: | ||||||||||||||||||||
Income (loss) from continuing operations before income taxes | $ | 12.1 | $ | (246.1 | ) | $ | 50.6 | $ | (0.1 | ) | $ | 93.7 | ||||||||
Add (deduct): | ||||||||||||||||||||
Fixed charges | 76.0 | 72.2 | 73.1 | 70.5 | 36.3 | |||||||||||||||
Capitalized interest | — | (0.5 | ) | (0.6 | ) | — | — | |||||||||||||
Equity in earnings of joint ventures | (4.4 | ) | (6.5 | ) | (6.8 | ) | (3.9 | ) | (2.4 | ) | ||||||||||
Distributed income of earnings of joint ventures | 0.3 | 9.4 | 1.2 | 1.8 | — | |||||||||||||||
Total earnings (loss) available for fixed charges | $ | 84.0 | $ | (171.5 | ) | $ | 117.5 | $ | 68.3 | $ | 127.6 | |||||||||
Fixed charges: | ||||||||||||||||||||
Interest expense and amortization of debt discount | $ | 67.2 | $ | 63.7 | $ | 64.1 | $ | 61.1 | $ | 28.8 | ||||||||||
Capitalized interest | — | 0.5 | 0.6 | — | — | |||||||||||||||
Rental expense — interest component (a) | 8.8 | 8.0 | 8.4 | 9.4 | 7.5 | |||||||||||||||
Total fixed charges | $ | 76.0 | $ | 72.2 | $ | 73.1 | $ | 70.5 | $ | 36.3 | ||||||||||
Ratio of earnings to fixed charges (b) | 1.1 | — | 1.6 | — | 3.5 | |||||||||||||||
(a) | One third of rent expense is deemed to be representative of interest. | |
(b) | Earnings were inadequate to cover fixed charges by $243.7 million for the year ended December 31, 2008 and by $2.2 million for the year ended December 31, 2006. |