Domtar (UFS) 10-Q 2016 Q2 Quarterly report

Exhibit 12.1

Domtar Corporation

Computation of ratio of earnings to fixed charges

(In millions of dollars, unless otherwise noted)

	Three months ended				Six months ended
	June 30,		June 30,		June 30,		June 30,
	2016		2015		2016		2015
	$		$		$		$
Available earnings:
Earnings before income taxes		24		37		25		82
Add fixed charges:
Interest expense incurred		15		24		31		49
Amortization of debt expense and discount		—		1		1		2
Interest portion of rental expense (1)		2		2		4		4
Total earnings as defined		41		64		61		137
Fixed charges:
Interest expense incurred		15		24		31		49
Amortization of debt expense and discount		—		1		1		2
Interest portion of rental expense (1)		2		2		4		4
Total fixed charges		17		27		36		55
Ratio of earnings to fixed charges		2.4		2.4		1.7		2.5

⁽¹⁾ Interest portion of rental expense is calculated based on the proportion deemed representation of the interest component (i.e 1/3 of rental expense).