Exhibit 12
ClubCorp Club Operations, Inc.
Computation of Ratio of Earnings to Fixed Charges
Five Years Ended December 28, 2010
| | Twelve Weeks Ended | | Fiscal Years Ended | |
| | March 22,
2011 | | March 23,
2010 | | December 28,
2010 | | December 29,
2009 | | December 30,
2008 | | December 25,
2007 | | December 26,
2006 | |
Earnings: | | | | | | | | | | | | | | | |
(Loss) income before income taxes | | $ | (16,935 | ) | $ | (12,427 | ) | $ | 318,711 | | $ | (20,180 | ) | $ | (59,666 | ) | $ | (75,337 | ) | $ | (64,475 | ) |
Equity in earnings from unconsolidated ventures | | (259 | ) | (89 | ) | (1,309 | ) | (706 | ) | (1,514 | ) | (851 | ) | (2,383 | ) |
(Loss) income from continuing operations before taxes, noncontrolling interests and equity in earnings from unconsolidated ventures | | (17,194 | ) | (12,516 | ) | 317,402 | | (20,886 | ) | (61,180 | ) | (76,188 | ) | (66,858 | ) |
| | | | | | | | | | | | | | | |
Add: | | | | | | | | | | | | | | | |
Total fixed charges (per below) | | 21,825 | | 14,404 | | 64,418 | | 66,132 | | 102,928 | | 115,037 | | 40,326 | |
Amortization of capitalized interest | | 35 | | 34 | | 149 | | 146 | | 133 | | 89 | | 29 | |
| | | | | | | | | | | | | | | |
Less: | | | | | | | | | | | | | | | |
Interest capitalized | | (148 | ) | (38 | ) | (115 | ) | (69 | ) | (966 | ) | (2,382 | ) | (2,239 | ) |
| | | | | | | | | | | | | | | |
Total earnings | | $ | 4,814 | | $ | 1,960 | | $ | 382,083 | | $ | 45,461 | | $ | 42,847 | | $ | 41,320 | | $ | (24,265 | ) |
| | | | | | | | | | | | | | | |
Fixed Charges: | | | | | | | | | | | | | | | |
Interest expense | | $ | 19,982 | | $ | 12,587 | | $ | 57,165 | | $ | 58,383 | | $ | 94,583 | | $ | 105,408 | | $ | 31,166 | |
Interest capitalized | | 148 | | 38 | | 115 | | 69 | | 966 | | 2,382 | | 2,239 | |
Estimate of interest within rental expense(a) | | 1,695 | | 1,780 | | 7,138 | | 7,680 | | 7,379 | | 7,247 | | 6,921 | |
| | | | | | | | | | | | | | | |
Total fixed charges | | $ | 21,825 | | $ | 14,404 | | $ | 64,418 | | $ | 66,132 | | $ | 102,928 | | $ | 115,037 | | $ | 40,326 | |
| | | | | | | | | | | | | | | |
Ratio of earnings to fixed charges(b) | | — | | — | | 5.93x | | — | | — | | — | | — | |
(a) Fixed charges include the estimated interest component of rent expense (one-third of rent under operating leases) included in income from continuing operations.
(b) For the fiscal years ended December 26, 2006, December 25, 2007, December 30, 2008 and December 29, 2009, and for the twelve weeks ended March 23, 2010 and March 22, 2011, earnings were insufficient to cover fixed charges by approximately $64.6 million, $73.7 million, $60.1 million, $20.7 million, $12.4 million and $17.0 million, respectively.
