Exhibit 12.1
USFREIGHTWAYS CORPORATION
RATIO OF EARNINGS TO FIXED CHARGES(1)
(Dollars in Thousands)
Years Ended December 31, Nine Months Ended
--------------------------------------------------------- ------------------------
Oct. 3, Oct. 2,
1994 1995 1996 1997 1998 1998 1999
------- ------- ------- -------- ------- ------- -------
Earnings before taxes/(2)/ 59,238 58,488 58,979 97,495 121,494 87,311 123,945
Plus interest expense 9,081 8,884 12,144 8,461 8,784 6,243 10,001
Less capitalized interest 0 0 0 0 0 0 0
Less undistributed income 0 0 0 0 0 0 0
------- ------- ------- -------- ------- ------- -------
Adjusted earnings income
before taxes 68,319 67,372 71,123 105,956 130,278 93,554 133,946
Fixed charges:
Interest expense 9,081 8,884 12,144 8,461 8,784 6,243 10,001
Capitalized interest expense 0 0 0 0 0 0 0
Rental expense 6,900 6,601 6,799 7,288 7,532 5,588 7,236
Total fixed charges 15,981 15,485 18,943 15,749 16,316 11,831 17,237
------- --------- ------- -------- ------- ------- -------
Ratio of earnings to
fixed charges 4.3 4.4 3.8 6.7 8.0 7.9 7.8
(1) For the purpose of calculating the ratio, earnings have been calculated by
adding fixed charges to income before income taxes, and by deducting therefrom
interest capitalized during the period and USFreightways Corporation's share of
the undistributed income in less-than-fifty-percent-owned affiliates; and fixed
charges comprise total interest, including capitalized interest, and the portion
of rental expense representative of the interest factor.
(2) Before a one-time restructuring of $4,050 in 1996.
(3) Rental expense is one-third of total expense or the proportion deemed
representative of the interest factor.