Exhibit 12.1
TITAN INTERNATIONAL, INC.
COMPUTATION OF EARNINGS TO FIXED CHARGES
(Amounts in thousands)
Year ended December 31, | Three months ended March 31 | |||||||||||||||||||||||||||
2013 | 2014 | 2015 | 2016 | 2017 | 2017 | 2018 | ||||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||||||
Earnings (loss) before income taxes | $ | 52,490 | $ | (151,109 | ) | $ | (55,072 | ) | $ | (36,474 | ) | $ | (52,876 | ) | $ | (7,143 | ) | $ | 13,900 | |||||||||
Add/(Subtract): | ||||||||||||||||||||||||||||
Fixed charges | 49,265 | 39,359 | 36,673 | 35,233 | 32,395 | 8,328 | 8,054 | |||||||||||||||||||||
Amortization of capitalized interest | 11 | 22 | 22 | 22 | 134 | 5 | 66 | |||||||||||||||||||||
Distributed income of equity investees | 514 | 558 | 473 | 555 | 820 | 305 | 376 | |||||||||||||||||||||
Capitalized interest | (237 | ) | (247 | ) | (814 | ) | (1,186 | ) | (276 | ) | (152 | ) | 0 | |||||||||||||||
Equity method income | (1,430 | ) | (2,108 | ) | (1,790 | ) | (2,977 | ) | (3,615 | ) | (810 | ) | (1,116 | ) | ||||||||||||||
Noncontrolling interest in pretax (income) loss of subsidiaries without fixed charges | 5,177 | 385 | 7,147 | 410 | 3,346 | (278 | ) | 1,078 | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Earnings available for fixed charges | $ | 105,790 | $ | (113,140 | ) | $ | (13,361 | ) | $ | (4,417 | ) | $ | (20,072 | ) | $ | 255 | $ | 22,358 | ||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Fixed charges: | ||||||||||||||||||||||||||||
Interest expense | $ | 47,120 | $ | 36,564 | $ | 34,032 | $ | 32,539 | $ | 30,229 | $ | 7,721 | $ | 7,518 | ||||||||||||||
Capitalized interest | 237 | 247 | 814 | 1,186 | 276 | 152 | 0 | |||||||||||||||||||||
Estimated interest in rent expense | 1,908 | 2,548 | 1,827 | 1,508 | 1,890 | 455 | 536 | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Total fixed charges | $ | 49,265 | $ | 39,359 | $ | 36,673 | $ | 35,233 | $ | 32,395 | $ | 8,328 | $ | 8,054 | ||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||||||||||||
Ratio of earnings to fixed charges (a) | 2.15 | n/a | n/a | n/a | n/a | 0.03 | 2.78 |
(a) | Earnings were insufficient to cover fixed charges for the years ended December 31, 2014, 2015, 2016, and 2017, by $152.5 million, $50.0 million, $39.7 million, and $52.5 million, respectively. |