1 EXHIBIT 12 LORAL SPACE & COMMUNICATIONS LTD COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (In thousands, Except Ratios) (Unaudited) NINE MONTHS ENDED SEPTEMBER 30, 1997 ------------------ Earnings: Income before income taxes, minority interest and equity in net loss of affiliates............................................................. $ 32,259 Plus interest expense..................................................... 29,918 Less capitalized interest................................................. 13,777 ------- Earnings available to cover fixed charges................................... $ 48,400 ======= Fixed charges............................................................... $(61,962) ======= Deficiency of earnings to cover fixed charges............................... $(13,562) =======