Exhibit 12
STEWART ENTERPRISES, INC.
AND SUBSIDIARIES
Calculation of Ratio of Earnings to Fixed Charges
(Dollars in thousands)
(Unaudited)
Three Months
Years Ended October 31, Ended
-------------------------------------------------------- January 31,
1996 1997 1998 1999 2000 2001
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Earnings from operations
before income taxes ........................ $ 82,075 $106,477(1) $ 64,964(2) $142,551(3) $105,187 $ 26,480(4)
Fixed charges:
Interest charges .......................... 26,051 38,031 44,107 55,543 62,748 15,533
Interest portion of lease expense ......... 1,522 2,181 2,814 2,859 3,379 711
-------- -------- -------- -------- -------- ------------
Total fixed charges .......................... 27,573 40,212 46,921 58,402 66,127 16,244
Earnings from operations before income
taxes and fixed charges, less capitalized
interest .................................... $109,648 $146,689(1) $111,599(2) $200,118(3) $169,960 $ 42,540(4)
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Ratio of earnings to fixed charges ........... 3.98 3.65(1) 2.38(2) 3.43(3) 2.57 2.62(4)
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| (1) | Excludes cumulative effect of change in accounting principles of $2,324 (net of $2,230 income tax benefit). |
| (2) | Includes a nonrecurring, noncash charge of $76,762 recorded in connection with the vesting of the Company's performance-based stock options. |
| (3) | Excludes cumulative effect of change in accounting principle of $50,101 (net of $28,798 income tax benefit). |
| (4) | Excludes cumulative effect of change in accounting principles of $250,004 (net of a $166,669 income tax benefit). |
During the periods presented the Company had no preferred stock outstanding. Therefore, the ratio of earnings to combined fixed charges and preference dividends was the same as the ratio of earnings to fixed charges for each of the periods presented.