Exhibit 12.1
THOMPSON CREEK METALS COMPANY INC. AND SUBSIDIARIES | ||||||||||
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES | ||||||||||
(amounts in millions except ratio) | ||||||||||
| Years Ended December 31, | ||||||||||
| 2013 | 2012 | 2011 | 2010 | 2009 | ||||||
| Earnings | ||||||||||
| Add: | ||||||||||
| Income (loss) before income and mining taxes | (278.4) | (657.4) | 303.3 | 133.9 | (54) | |||||
| Fixed Charges | 99.3 | 65.0 | 22.0 | 1.0 | 1.3 | |||||
| Deduct: | ||||||||||
| Capitalized Interest | 70.7 | 49.0 | (1) | 15.9 | — | — | ||||
| Total Earnings per SEC Item 503 of Reg S-K | (249.8) | (641.4) | 309.4 | 134.9 | (52.7) | |||||
| Fixed Charges: | ||||||||||
| Interest Expense | 24.1 | 12.8 | 5.2 | 0.9 | 1.2 | |||||
| Capitalized interest and amortization of debt discount and expenses | 75.2 | 52.2 | 16.8 | — | — | |||||
| Est Interest Expense for Operating Leases | — | — | — | 0.1 | 0.1 | |||||
| Total Fixed Charges | 99.3 | 65.0 | 22.0 | 1.0 | 1.3 | |||||
| Ratio of Earnings to Fixed Charges | N/A | (2) | N/A | (3) | 14.1 | 134.9 | N/A | (4) | ||
| N/A - Represents a coverage ratio of less than 1. | ||||||||||
(1) - During 2012, the Company incurred pre-tax impairment charges of $530.5 million related to the partial write down of the Company's share of the property, plant, equipment and development assets at its Endako Mine. Of this $530.5 million write down, $6.4 million related to capitalized interest, of which $1.1 million was capitalized during 2012. The amount presented ($49.0 million) does not reflect the effect of the impairments. | ||||||||||
| (2) - For 2013, earnings were insufficient to cover fixed charges by $249.8 million. Earnings for 2013 included a charge of $194.9 million related to the partial write down of the property, plant and equipment assets and and materials and supplies at TC Mine and Endako Mine. | ||||||||||
| (3) - For 2012, earnings were insufficient to cover fixed charges by $641.4 million. Earnings for 2012 included a charge of $530.5 million related to the partial write down of the Company's share of the property, plant, equipment and development assets at its Endako Mine and a $47.0 million charge related to the write down of goodwill. | ||||||||||
| (4) - For 2009, earnings were insufficient to cover fixed charges by $52.7 million. Included in earnings for 2009 was a non-cash charge related to the change in fair value of our warrants of $93.4 million. This charge was the result of the Company's adoption of new accounting rules that were not effective until January 1, 2009. | ||||||||||