EXHIBIT 12
FARMLAND INDUSTRIES, INC. AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
Year Ended August 31
-----------------------------------------------------------
1997 1998 1999 2000 2001
---------- --------- ---------- ---------- ------------
(Amounts in Thousands)
Earnings:
Pretax Income (Loss) .......... $ 163,672 $ 55,025 $ 5,822 $ (50,732) $(137,540)
Minority Owners' Interest in
Income of Consolidated
Subsidiary that has
Fixed Charges .............. 10,586 8,346 17,727 24,996 23,164
Minority Owners' Interest in
Loss of
Consolidated Subsidiary .... (1,902) (1,341) -0- -0- -0-
Equity in net (income) loss of
Investees (A) .............. (868) (56,531) (65,510) (56,891) (27,457)
Distributions from
Investees (A) .............. 5 57,620 59,715 58,962 28,774
Total Fixed Charges
(excluding interest
capitalized, net of
amortization) .............. 79,247 $ 94,960 $ 113,611 $ 140,252 $ 167,331
--------- --------- --------- --------- ---------
Total Earnings ................... $ 250,740 $ 158,079 $ 131,365 $ 116,587 $ 54,272
========= ========= ========= ========= =========
Fixed Charges:
Interest (including amounts
capitalized and amortization
of debt issuance costs) .... $ 68,099 $ 79,421 $ 93,686 $ 119,770 $ 139,649
Estimated Interest Component
of Rentals ................. 15,127 19,483 19,925 $ 21,623 $ 27,932
--------- --------- --------- --------- ---------
Total Combined Fixed Charges ..... $ 83,226 $ 98,904 $ 113,611 $ 141,393 $ 167,581
========= ========= ========= ========= =========
Ratio of Earnings to
Combined Fixed Charges ........ 3.0 1.6 1.2 0.8 0.3
(A) For 1997, equity interest and distributions shown represent less-than-50%-owned Investees. For 1998 through
2001, equity interest and distributions shown represent 50%-owned and less-than-50%-owned Investees.
