Alaska Air Group, Inc. EXHIBIT 12
Calculation of Ratio of Earnings to Fixed Charges
and Preferred Dividends
(In thousands, except ratios)
1995 1994 1993 1992 1991
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Earnings:
Income (loss) before income tax
expense and accounting change $33,983 $40,961 ($45,812) ($125,706) $16,207
Less: Capitalized interest (208) (353) (446) (6,102) (8,301)
Add:
Interest on indebtedness 51,479 46,960 37,624 43,223 40,180
Amortization of debt expense 1,100 1,368 690 643 519
Portion of rent under long-term
operating leases representative
of an interest factor 67,295 65,618 60,136 49,889 41,327
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Total Earnings Available for Fixed
Charges and Preferred Dividends $153,649 $154,554 $52,192 ($38,053) $89,932
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Fixed Charges and Preferred Dividends:
Preferred dividends - - $2,429 $6,400 $6,383
Times, ratio of income before
income tax expense to net income NA NA 1.48 1.57 1.57
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Preferred dividends on pretax basis NA NA 3,595 10,048 10,021
Amortization of preferred stock
issuance costs - - 96 288 288
Interest 51,479 46,960 37,624 43,223 40,180
Amortization of debt expense 1,100 1,368 690 643 519
Portion of rent under long-term
operating leases representative
of an interest factor 67,295 65,618 60,136 49,889 41,327
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Total Fixed Charges and
Preferred Dividends $119,874 $113,946 $102,141 $104,091 $92,335
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Ratio of Earnings to Fixed Charges
and Preferred Dividends 1.28 1.36 0.51 (0.37) 0.97
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Coverage deficiency - - $49,949 $142,144 $2,403
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