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EXHIBIT 12
Alaska Air Group, Inc.
Calculation of Ratio of Earnings to Fixed Charges
(In thousands, except ratios)
| 2000 | 1999 | 1998 | 1997 | 1996 | |||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Earnings: | ||||||||||||||||
Income before income tax expense | $ | (15,700 | ) | $ | 220,700 | $ | 204,400 | $ | 123,600 | $ | 64,349 | |||||
Less: Capitalized interest | (15,500 | ) | (10,200 | ) | (6,600 | ) | (5,300 | ) | (1,031 | ) | ||||||
Add: | ||||||||||||||||
Interest on indebtedness | 36,000 | 16,300 | 21,200 | 33,600 | 38,394 | |||||||||||
Amortization of debt expense | 330 | 440 | 682 | 685 | 1,224 | |||||||||||
Portion of rent under long-term operating leases representative of an interest factor | 80,680 | 81,437 | 80,547 | 72,900 | 71,562 | |||||||||||
Earnings Available for Fixed Charges | $ | 85,810 | $ | 308,677 | $ | 300,229 | $ | 225,485 | $ | 174,498 | ||||||
Fixed Charges: | ||||||||||||||||
Interest | 36,000 | 16,300 | 21,200 | 33,600 | 38,394 | |||||||||||
Amortization of debt expense | 330 | 440 | 682 | 685 | 1,224 | |||||||||||
Portion of rent under long-term operating leases representative of an interest factor | 80,680 | 81,437 | 80,547 | 72,900 | 71,562 | |||||||||||
Total Fixed Charges | $ | 117,010 | $ | 98,177 | $ | 102,429 | $ | 107,185 | $ | 111,180 | ||||||
Ratio of Earnings to Fixed Charges | 0.73 | 3.14 | 2.93 | 2.10 | 1.57 | |||||||||||
Coverage deficiency | $ | 31,200 | — | — | — | — | ||||||||||
Alaska Air Group, Inc. Calculation of Ratio of Earnings to Fixed Charges (In thousands, except ratios)