POLYMER GROUP, INC.
Exhibit 12 - Calculation of Ratio of Earnings to Fixed Charges
Pro Forma Pro Forma
Fiscal Year Three Months Three Months Three Months
Ended Ended Ended Ended
January 3, 1998 April 4, 1998 April 4, 1998 March 29, 1997
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EARNINGS
Consolidated income before income
taxes and extraordinary item $ 44,652 $ 4,143 $ 3,597 $ 7,415
Interest 72,682 18,170 17,828 7,590
Interest capitalized during the period and
other credits (1,648) (995) (995) (756)
Amortization of capitalized debt costs 1,556 880 755 175
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Earnings $117,242 $22,198 $21,185 $14,424
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FIXED CHARGES
Interest $ 72,682 $18,170 $17,828 $ 7,590
Amortization of capitalized debt costs 1,556 880 755 175
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Fixed charges $ 74,238 $19,050 $18,583 $ 7,765
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Ratio of earnings to fixed charges 1.6 1.2 1.1 1.9
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Fiscal Year Ended
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January 3, December 28, December 30, December 31, January 1,
1998 1996 1995 1994 1994
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EARNINGS
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Consolidated income (loss) before
income taxes and extraordinary item $40,442 $25,552 $(18,391) $(14,985) $ 5,410
Undistributed dividend income from Fabrene - - - (246) (340)
Share of equity loss from minority interest
in Fabrene (27%) - - - 682 753
Interest 34,718 36,310 39,801 13,699 4,659
Interest capitalized during period and
other credits (1,648) (2,669) (1,933) (483) (272)
Amortization of capitalized debt costs 1,609 1,471 1,150 523 514
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Earnings $75,121 $60,664 $ 20,627 $ (810) $10,724
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FIXED CHARGES
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Interest $34,718 $36,310 $ 39,801 $ 13,699 $ 4,659
Amortization of capitalized debt costs 1,609 1,471 1,150 523 514
Interest portion of rental expense - - - - -
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Fixed charges $36,327 $37,781 $ 40,951 $ 14,222 $ 5,173
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Ratio of earnings to fixed charges (A) 2.1 1.6 - - 2.1
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(A) Fixed charges exceeded earnings for the year ended December 31, 1994 and the
year ended December 30, 1995 by approximately $15.0 million and $20.0 million,
respectively. However, the Company met all required interest payment and debt
obligations