Kindred Hospital Palm Beach, L.L.C. S-4 Registration of securities issued in business combination transactions

Exhibit 12.1

Kindred Healthcare, Inc.

Statement of Computation of Ratio of Earnings to Fixed Charges

(In thousands, except statistics)

	Year Ended December 31,															Nine Months ended September 30,
	2009			2010			2011			2012			2013			2014
COMPUTATION OF FIXED CHARGES
Interest expensed and capitalized in continuing operations, including amortization of debt discounts and fees	$	10,005		$	8,271		$	82,355		$	110,236		$	108,082		$	128,855
Interest expensed and capitalized in discontinued operations, including amortization of debt discounts and fees		112			104			78			71			52			16
Interest component of rental expense(1)		122,049			124,169			137,715			148,086			141,806			91,143
Total fixed charges	$	132,166		$	132,544		$	220,148		$	258,393		$	249,940		$	220,014
COMPUTATION OF EARNINGS:
Pretax income from continuing operations before adjustment for noncontrolling interest in consolidated subsidiaries and income or loss from equity investees	$	39,264		$	25,899		$	(82,501	)	$	(17,041	)	$	(54,721	)	$	9,704	(2)
Fixed charges		132,166			132,544			220,148			258,393			249,940			220,014
Distributed income of equity investees		2,477			700			2,865			1,917			1,580			272
Amortization of capitalized interest, less interest capitalized		(2,080	)		(1,015	)		(1,241	)		(2,104	)		87			149
	$	171,827		$	158,128		$	139,271		$	241,165		$	196,886		$	230,139
RATIO OF EARNINGS TO FIXED CHARGES		1.30x			1.19x			0.63x			0.93x			0.79x			1.05x

(1) Management has estimated the interest component of rent expense to be 33%.

(2) Includes transaction costs related to the acquisition of Gentiva Health Services, Inc. totaling $5.3 million.