EX-12 2 ppc-2016x12x25xexh12.htm EXHIBIT 12
EXHIBIT 12
PILGRIM'S PRIDE CORPORATION
COMPUTATION OF RATIO EARNINGS TO FIXED CHARGES

| 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Earnings: |  |  |  |  |  |  |  |  |
Income from continuing operations before income taxes | $ | 672,635 |  |  | $ | 992,758 |  |  | $ | 1,102,391 |  |  | $ | 573,940 |  |  | $ | 153,062 |
Add: Total fixed charges (see below) | 59,547 |  |  | 50,361 |  |  | 91,775 |  |  | 88,660 |  |  | 113,011 |
Less: Interest capitalized | (2,808 | ) |  | (4,383 | ) |  | (4,628 | ) |  | (586 | ) |  | (1,717 | )
Total earnings | 729,374 |  |  | 1,038,736 |  |  | 1,189,538 |  |  | 662,014 |  |  | 264,356 |
Fixed charges: |  |  |  |  |  |  |  |  |
Interest(a) | 48,729 |  |  | 41,930 |  |  | 86,725 |  |  | 87,592 |  |  | 106,643 |
Portion of noncancelable lease expense representative of interest factor(b) | 10,817 |  |  | 8,431 |  |  | 5,050 |  |  | 1,068 |  |  | 6,368 |
Total fixed charges | 59,546 |  |  | 50,361 |  |  | 91,775 |  |  | 88,660 |  |  | 113,011 |
Ratio of earnings to fixed charges | 12.25 |  |  | 20.63 |  |  | 12.96 |  |  | 7.47 |  |  | 2.34 |

(a) Interest includes amortization of capitalized financing fees.
(b) One-third of noncancelable lease expense is assumed to be representative of the interest factor.