Exhibit 12.1
Statement Regarding Computation of Ratio of Earnings to Fixed Charges
Ratio of Earnings to Fixed Charges | Year Ended December 31, | Nine months ended September 30, 2010 | ||||||||||||||||||||||
2009 | 2008 | 2007 | 2006 | 2005 | ||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Net income attributable to MasTec | $ | 70,748 | $ | 65,788 | $ | (7,328 | ) | $ | (50,348 | ) | $ | (14,616 | ) | $ | 52,017 | |||||||||
Provision for income taxes | 8,385 | 870 | — | — | — | 35,912 | ||||||||||||||||||
Income attributable to MasTec before income taxes | 79,133 | 66,658 | (7,328 | ) | (50,348 | ) | (14,616 | ) | 87,929 | |||||||||||||||
Add: | ||||||||||||||||||||||||
Minority interest(1) | $ | — | $ | — | $ | 2,459 | $ | 2,294 | $ | 1,714 | $ | — | ||||||||||||
Loss from discontinued operations | — | 814 | 13,611 | 90,398 | 35,947 | — | ||||||||||||||||||
Fixed charges | 51,237 | 36,928 | 32,168 | 31,186 | 35,297 | 51,187 | ||||||||||||||||||
Subtotal Earnings | $ | 130,370 | $ | 104,400 | $ | 40,910 | $ | 73,530 | $ | 58,342 | $ | 139,116 | ||||||||||||
Less: Undistributed earnings of less-than-50% owned affiliates | — | — | 119 | 5,772 | 285 | — | ||||||||||||||||||
Total Earnings | $ | 130,370 | $ | 104,400 | $ | 40,791 | $ | 67,758 | $ | 58,057 | $ | 139,116 | ||||||||||||
Fixed Charges: | ||||||||||||||||||||||||
Interest expense | $ | 25,944 | $ | 17,721 | $ | 16,135 | $ | 14,453 | $ | 19,463 | $ | 22,732 | ||||||||||||
Estimate of interest within rental expense | 25,293 | 19,207 | 16,033 | 16,733 | 15,834 | 28,455 | ||||||||||||||||||
Total Fixed Charges | $ | 51,237 | $ | 36,928 | $ | 32,168 | $ | 31,186 | $ | 35,297 | $ | 51,187 | ||||||||||||
Ratio of Earnings to Fixed Charges | 2.5x | 2.8x | 1.3x | 2.2x | 1.6x | 2.7x | ||||||||||||||||||
(1) | In years prior to the adoption of SFAS 160,Non-controlling Interests in Consolidated Financial Statements, (2004-2008), other parties’ interests in less-than-100%-owned subsidiaries were accounted for as minority interest. Upon the adoption of SFAS 160 in 2009, these interests are accounted for as non-controlling interests and are excluded from net income attributable to MasTec. Therefore, no further adjustment for the non-controlling interest portion of net income is required in 2009 or 2010. |