Exhibit 12.1
Domtar Corporation
Computation of ratio of earnings to fixed charges
(In millions of dollars, unless otherwise noted)
Three months ended | Nine months ended | |||||||||||||||
September 30, 2010 | September 30, 2009 | September 30, 2010 | September 30, 2009 | |||||||||||||
$ | $ | $ | $ | |||||||||||||
Available earnings: | ||||||||||||||||
Earnings before income taxes | 212 | 261 | 322 | 324 | ||||||||||||
Add fixed charges: | ||||||||||||||||
Interest expense incurred | 20 | 32 | 117 | 83 | ||||||||||||
Amortization of debt expense and discount | 4 | 2 | 9 | 5 | ||||||||||||
Interest portion of rental expense | 3 | 3 | 8 | 8 | ||||||||||||
Total earnings as defined | 239 | 298 | 456 | 420 | ||||||||||||
Fixed charges: | ||||||||||||||||
Interest expense incurred | 20 | 32 | 117 | 83 | ||||||||||||
Amortization of debt expense and discount | 4 | 2 | 9 | 5 | ||||||||||||
Interest portion of rental expense | 3 | 3 | 8 | 8 | ||||||||||||
Total fixed charges | 27 | 37 | 134 | 96 | ||||||||||||
Ratio of earnings to fixed charges | 8.9 | 8.1 | 3.4 | 4.4 | ||||||||||||