EX-12 2 uvv-exhibit12x03312018.htm EXHIBIT 12
Exhibit 12
UNIVERSAL CORPORATION
RATIO OF EARNINGS TO FIXED CHARGES
AND
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERENCE DIVIDENDS

|  | Fiscal Year Ended March 31,
|  | 2018 |  | 2017 |  | 2016 |  | 2015 |  | 2014
|  | (in thousands, except for ratios)
Earnings |  |  |  |  |  |  |  |  |  |
Pretax income before equity in pretax earnings (loss) of unconsolidated affiliates |  | $ | 157,552 |  |  | $ | 163,464 |  |  | $ | 167,156 |  |  | $ | 151,330 |  |  | $ | 226,793 |
Fixed charges (net of interest capitalized) |  | 17,514 |  |  | 18,222 |  |  | 18,499 |  |  | 20,993 |  |  | 23,974 |
Distribution of earnings from unconsolidated affiliates |  | 5,541 |  |  | 5,078 |  |  | 3,422 |  |  | 5,228 |  |  | 6,508 |
Total Earnings |  | $ | 180,607 |  |  | $ | 186,764 |  |  | $ | 189,077 |  |  | $ | 177,551 |  |  | $ | 257,275 |
Fixed Charges and Preference Dividends |  |  |  |  |  |  |  |  |  |
Interest expense |  | $ | 15,621 |  |  | $ | 16,284 |  |  | $ | 15,669 |  |  | $ | 17,120 |  |  | $ | 20,307 |
Interest capitalized |  | — |  |  | — |  |  | — |  |  | — |  |  | — |
Amortization of premiums, discounts, and debt issuance cost(1) |  | — |  |  | — |  |  | 851 |  |  | 1,600 |  |  | 1,302 |
Interest component of rent expense |  | 1,893 |  |  | 1,938 |  |  | 1,979 |  |  | 2,273 |  |  | 2,365 |
Total Fixed Charges |  | 17,514 |  |  | 18,222 |  |  | 18,499 |  |  | 20,993 |  |  | 23,974 |
Dividends on convertible perpetual preferred stock (pretax) |  | — |  |  | 17,017 |  |  | 22,689 |  |  | 22,806 |  |  | 22,846 |
Total Fixed Charges and Preference Dividends |  | $ | 17,514 |  |  | $ | 35,239 |  |  | $ | 41,188 |  |  | $ | 43,799 |  |  | $ | 46,820 |
Ratio of Earnings to Fixed Charges |  | 10.31 |  |  | 10.25 |  |  | 10.22 |  |  | 8.46 |  |  | 10.73 |
Ratio of Earnings to Combined Fixed Charges and Preference Dividends |  | 10.31 |  |  | 5.30 |  |  | 4.59 |  |  | 4.05 |  |  | 5.49 |

(1) The Company began reporting the amortization of premiums, discounts, and debt issuance costs in interest expense effective April 1, 2016 (the beginning of fiscal year 2017). No reclassification has been made for prior reporting periods since the amounts are not material.