Exhibit 12.1
National Healthcare Corporation
Computation of Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
(dollars in thousands)
Computation of Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
(dollars in thousands)
Year Ended December 31 | ||||||||||||||||||||
2006 | 2005 | 2004 | 2003 | 2002 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Pretax income | $ | 54,279 | $ | 46,690 | $ | 40,055 | $ | 33,287 | $ | 27,446 | ||||||||||
Minority interest adjustment | (19 | ) | 56 | 39 | 62 | 21 | ||||||||||||||
Equity earnings adjustment | (4,300 | ) | (225 | ) | (344 | ) | (330 | ) | (297 | ) | ||||||||||
Add fixed charges | 16,466 | 17,330 | 16,927 | 17,818 | 19,018 | |||||||||||||||
Add amortization of capitalized interest | 71 | 71 | 61 | 55 | 51 | |||||||||||||||
Add distributed income of equity investees | 250 | 155 | 453 | 463 | 304 | |||||||||||||||
Deduct interest capitalized | (370 | ) | (31 | ) | (240 | ) | (162 | ) | (40 | ) | ||||||||||
Total Earnings Available for Fixed Charges | $ | 66,377 | $ | 64,046 | $ | 56,951 | $ | 51,193 | $ | 46,503 | ||||||||||
Fixed charges: | ||||||||||||||||||||
Interest expensed | $ | 980 | $ | 1,531 | $ | 1,299 | $ | 2,080 | $ | 3,482 | ||||||||||
Interest capitalized | 370 | 31 | 240 | 162 | 40 | |||||||||||||||
Estimated interest within rental expense | 15,116 | 15,768 | 15,388 | 15,576 | 15,496 | |||||||||||||||
Total fixed charges | $ | 16,466 | $ | 17,330 | $ | 16,927 | $ | 17,818 | $ | 19,018 | ||||||||||
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends | 4.0× | 3.7× | 3.4× | 2.9× | 2.4× |