CONE MILLS CORPORATION Exhibit 12.2
Ratio of Earnings to Fixed Charges Computation
First Six Months
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2000 1999 1999 1998 1997 1996 1995
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Operating Income (Loss) per Statements $ 10,846 $ (8,361) $ (16,544) $ (7,655) $ (8,329) $ 12,823 $ 35,424
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Interest Income 642 876 1,529 2,777 2,486 586 563
Interest Expense (11,230) (6,935) (14,999) (14,446) (13,716) (15,039) (14,730)
Interest Exp-Hedge Act.-Debentures (214) (214) (427) (427) (427) (427) (338)
Interest Exp-Amortization of Discount (8) (8) (17) (17) (17) (17) (13)
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(10,810) (6,281) (13,914) (12,113) (11,674) (14,897) (14,518)
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Income (Loss) before Income Tax Benefit, Equity in
Earnings of Unconsolidated Affiliate and
Cumulative Effect of Accounting Change 36 (14,642) (30,458) (19,768) (20,003) (2,074) 20,906
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Fixed Charges:
Interest Expense 11,230 6,935 14,999 14,446 13,716 15,039 14,730
Interest Exp-Hedge Act.-Debentures 214 214 427 427 427 427 338
Interest Exp-Amortization of Discount 8 8 17 17 17 17 13
Interest portion of rental expense 1,224 943 2,292 1,997 1,952 2,493 2,478
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Total Fixed Charges 12,676 8,100 17,735 16,887 16,112 17,976 17,559
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Earnings Available for Fixed Charge Coverage $ 12,712 $ (6,542) $ (12,723) $ (2,881) $ (3,891) $ 15,902 $ 38,465
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Ratio of Earnings to Fixed Charges 1.00 (0.81) (0.72) (0.17) (0.24) 0.88 2.19
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Fixed Charges (Pro Forma):
Total Fixed Charges $ 12,676 $ 17,735
Interest Exp-Debentures 2005 (4,063) (8,125)
Interest Exp-Hedge Act.-Debentures (214) (427)
Interest Exp-Amortization of Discount (8) (17)
Interest Exp-Debentures 11% (1) 4,125 8,250
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$ 12,516 $ 17,416
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Earnings Available for Fixed Charge Coverage $ 12,552 $ (13,042)
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Ratio of Earnings to Fixed Charges 1.00 (0.75)
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Deficiency of Earnings to Cover Fixed Charges $ 14,642 $ 30,458 $ 19,768 $ 20,003 $ 2,074
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(1) Assumes exchange of the 8-1/8% Debentures for 4.92 million shares of Common
Stock and $75 million in 11% Secured Subordinated Debentures.