EX-12.0 2 mat93018ex120.htm EXHIBIT 12.0
EXHIBIT 12.0
MATTEL, INC. AND SUBSIDIARIES
COMPUTATION OF RATIO OF (LOSS) EARNINGS TO FIXED CHARGES

(Unaudited; in thousands, except ratios) | For the Nine Months Ended September 30, 2018 |  | For the Years Ended December 31,
2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013
(Loss) Earnings Available for Fixed Charges: |  |  |  |  |  |  |  |  |  |  |
(Loss) income from continuing operations before income taxes | $ | (475,335 | ) |  | $ | (504,987 | ) |  | $ | 409,742 |  |  | $ | 463,915 |  |  | $ | 586,910 |  |  | $ | 1,099,128 |
Add: |  |  |  |  |  |  |  |  |  |  |
Interest expense | 132,702 |  |  | 105,214 |  |  | 95,118 |  |  | 85,270 |  |  | 79,271 |  |  | 78,505 |
Appropriate portion of rents (a) | 31,569 |  |  | 45,799 |  |  | 36,708 |  |  | 38,297 |  |  | 40,291 |  |  | 37,006 |
(Loss) earnings available for fixed charges | $ | (311,064 | ) |  | $ | (353,974 | ) |  | $ | 541,568 |  |  | $ | 587,482 |  |  | $ | 706,472 |  |  | $ | 1,214,639 |
Fixed Charges: |  |  |  |  |  |  |  |  |  |  |
Interest expense | $ | 132,702 |  |  | $ | 105,214 |  |  | $ | 95,118 |  |  | $ | 85,270 |  |  | $ | 79,271 |  |  | $ | 78,505 |
Appropriate portion of rents (a) | 31,569 |  |  | 45,799 |  |  | 36,708 |  |  | 38,297 |  |  | 40,291 |  |  | 37,006 |
Fixed charges | $ | 164,271 |  |  | $ | 151,013 |  |  | $ | 131,826 |  |  | $ | 123,567 |  |  | $ | 119,562 |  |  | $ | 115,511 |
Ratio of (loss) earnings to fixed charges | (c) |  |  | (b) |  |  | 4.11 X |  |  | 4.75 X |  |  | 5.91 X |  |  | 10.52 X |

(a) | Portion of rental expenses which is deemed representative of an interest factor, which is approximately one-third of total rental expense.

(b) | (Loss) earnings available for fixed charges for the year-ended December 31, 2017 were inadequate to cover fixed charges by $505.0 million.

(c) | (Loss) earnings available for fixed charges for the nine months ended September 30, 2018 were inadequate to cover fixed charges by $475.3 million.