First Data 2007 Annual Report Download - page 406

Exhibit 12
FIRST DATA CORPORATION
COMPUTATION OF
RATIO OF EARNINGS TO FIXED CHARGES
Successor Predecessor
Period from
September 25
through
December 31,
Period from
January 1
through
September 24, Years Ended December 31,
(in millions) 2007 2007 2006 2005 2004 2003
Earnings:
Income (loss) before income taxes (1) $ (478.0) $ 590.2 $ 1,051.4 $ 995.8 $ 1,507.8 $ 1,058.2
Interest expense 584.7 103.6 248.0 190.9 116.4 81.6
Other adjustments 76.8 23.5 31.4 30.0 35.4 39.0
Total earnings (a) $ 183.5 $ 717.3 $ 1,330.8 $ 1,216.7 $ 1,659.6 $ 1,178.8
Fixed charges:
Interest expense $ 584.7 $ 103.6 $ 248.0 $ 190.9 $ 116.4 $ 81.6
Other adjustments 76.8 23.5 31.4 30.0 35.4 39.0
Total fixed charges (b) $ 661.5 $ 127.1 $ 279.4 $ 220.9 $ 151.8 $ 120.6
Ratio of earnings to fixed charges (a/b) 0.28 5.64 4.76 5.51 10.93 9.77
(1) Income (loss) before income taxes includes minority interest and equity earnings in affiliates and excludes discontinued operations. Reflecting such
amounts on a cash basis would not materially impact the ratio due to the frequency of cash distributions.
For purposes of computing the ratio of earnings to fixed charges, fixed charges consist of interest on debt, amortization of deferred financing costs and a
portion of rentals determined to be representative of interest. Fixed charges do not include interest on income tax liabilities. Earnings consist of income before
income taxes plus fixed charges.