The Hershey Company (HSY) 10-Q 2015 Q2 Quarterly report

EXHIBIT 12.1

THE HERSHEY COMPANY

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(in thousands of dollars except for ratios)

(unaudited)

	Six Months Ended
	July 5, 2015			June 29, 2014
Earnings:
Income before income taxes	$	358,668		$	639,051
Add (deduct):
Interest on indebtedness	40,040			44,103
Portion of rents representative of the interest factor (a)	5,304			4,754
Amortization of debt expense	574			556
Amortization of capitalized interest	1,167			1,153
Adjustment to exclude noncontrolling interests in subsidiaries and income from equity investee	(3,447		)	46
Earnings as adjusted	$	402,306		$	689,663
Fixed Charges:
Interest on indebtedness	$	40,040		$	44,103
Portion of rents representative of the interest factor (a)	5,304			4,754
Amortization of debt expense	574			556
Capitalized interest	6,243			2,296
Total fixed charges	$	52,161		$	51,709
Ratio of earnings to fixed charges	7.71			13.34

NOTE:

(a) Portion of rents representative of the interest factor consists of one-third of rental expense for operating leases.