EX-12 3 v376011_ex12.htm EXHIBIT 12

Exhibit 12

Statement of Computation of Ratio of Earnings to Fixed Charges

|  | Three Months Ended |
|  | March 31, |
|  | 2014 |  |  | 2013 |
|  | (000’s) |  |  | (000’s) |
Earnings: |  |  |  |  |  |  |  |
Loss from continuing operations attributable to MDC Partners Inc. |  | $ | (8,740 | ) |  | $ | (40,976 | )
Additions: |  |  |  |  |  |  |  |
Income benefit |  |  | (334 | ) |  |  | (14,250 | )
Noncontrolling interest in income of consolidated subsidiaries |  |  | 1,362 |  |  |  | 982 |
Fixed charges, as shown below |  |  | 16,247 |  |  |  | 71,154 |
Distributions received from equity-method investees |  |  | 8 |  |  |  | 3,096 |
|  |  | 17,283 |  |  |  | 60,982 |
Subtractions: |  |  |  |  |  |  |  |
Equity in income (loss) of investees |  |  | 63 |  |  |  | 41 |
|  |  | 63 |  |  |  | 41 |
Earnings as adjusted |  | $ | 8,480 |  |  | $ | 19,965 |
Fixed charges: |  |  |  |  |  |  |  |
Interest on indebtedness, expensed or capitalized |  |  | 12,135 |  |  |  | 62,363 |
Amortization of debt discount and expense and premium on indebtedness, expensed or capitalized |  |  | 619 |  |  |  | 5,653 |
Interest within rent expense |  |  | 3,493 |  |  |  | 3,138 |
Total fixed charges |  | $ | 16,247 |  |  | $ | 71,154 |
Ratio of earnings to fixed charges |  |  | N/A |  |  |  | N/A |
Fixed charge deficiency |  | $ | 7,767 |  |  |  | 51,189 |