Exhibit 12.1
SONIC AUTOMOTIVE, INC. AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES
| Nine Months Ended September 30, | Year Ended December 31, | |||||||||||||||||||||||||||
| (In thousands) | 2012 | 2011 | 2011 | 2010 | 2009 | 2008 | 2007 | |||||||||||||||||||||
Fixed charges: | ||||||||||||||||||||||||||||
Interest expense, excluding floor plan interest | $ | 48,699 | $ | 54,117 | $ | 71,255 | $ | 79,032 | $ | 92,897 | $ | 72,417 | $ | 47,330 | ||||||||||||||
Capitalized interest | 513 | 2,052 | 2,290 | 2,330 | 702 | 1,543 | 2,463 | |||||||||||||||||||||
Rent expense (interest factor) | 19,511 | 21,533 | 29,771 | 30,738 | 31,290 | 31,380 | 31,753 | |||||||||||||||||||||
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Total fixed charges | 68,723 | 77,702 | 103,316 | 112,100 | 124,889 | 105,340 | 81,546 | |||||||||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle | 94,134 | 97,756 | 125,101 | 78,042 | 27,655 | (756,917 | ) | 169,404 | ||||||||||||||||||||
Add: Fixed charges | 68,723 | 77,702 | 103,316 | 112,100 | 124,889 | 105,340 | 81,546 | |||||||||||||||||||||
Less: Capitalized interest | (513 | ) | (2,052 | ) | (2,290 | ) | (2,330 | ) | (702 | ) | (1,543 | ) | (2,463 | ) | ||||||||||||||
Income from continuing operations before income taxes and cumulative effect of change in accounting principle & fixed charges | $ | 162,344 | $ | 173,406 | $ | 226,127 | $ | 187,812 | $ | 151,842 | $ | (653,120 | ) | $ | 248,487 | |||||||||||||
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Ratio of earnings to fixed charges(1) | 2.4x | 2.2 x | 2.2 x | 1.7 x | 1.2 x | $ | (758,460 | ) | 3.0 x | |||||||||||||||||||
| (1) | Reflects deficiency of earnings available to cover fixed charges for the year ended December 31, 2008. Because of this deficiency, ratio information is not provided. |
