EX-12 6 ex122013.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Exhibit (12)
CLEARWATER PAPER CORPORATION
Computation of Ratio of Earnings to Fixed Charges
(Dollars in thousands)

|  | Years Ended December 31,
|  | 2013 |  | 2012 |  | 2011 |  | 2010 |  | 2009
Earnings before income taxes |  | $ | 38,234 |  |  | $ | 111,591 |  |  | $ | 70,920 |  |  | $ | 76,196 |  |  | $ | 275,685 |
Add: Fixed charges |  | 69,390 |  |  | 53,974 |  |  | 55,706 |  |  | 27,382 |  |  | 20,248 |
Subtract: Capitalized interest |  | — |  |  | (12,570 | ) |  | (3,705 | ) |  | (480 | ) |  | — |
Earnings available for fixed charges |  | $ | 107,624 |  |  | $ | 152,995 |  |  | $ | 122,921 |  |  | $ | 103,098 |  |  | $ | 295,933 |
Fixed charges: |  |  |  |  |  |  |  |  |  |
Interest expense 1 |  | $ | 61,094 |  |  | $ | 33,796 |  |  | $ | 44,809 |  |  | $ | 22,571 |  |  | $ | 15,505 |
Rental expense factor 2 |  | 8,296 |  |  | 7,608 |  |  | 7,192 |  |  | 4,331 |  |  | 4,743 |
Capitalized interest |  | — |  |  | 12,570 |  |  | 3,705 |  |  | 480 |  |  | — |
Total fixed charges |  | $ | 69,390 |  |  | $ | 53,974 |  |  | $ | 55,706 |  |  | $ | 27,382 |  |  | $ | 20,248 |
Ratio of earnings to fixed charges |  | 1.6 |  |  | 2.8 |  |  | 2.2 |  |  | 3.8 |  |  | 14.6 |

1 | Interest expense, net for the year ended December 31, 2013 includes debt retirement costs of $17.1 million.

2 | “Rental expense factor” is the portion of rental expense estimated to be representative of the interest factor within rental expense.

The ratio of earnings to fixed charges is computed by dividing earnings available for fixed charges by fixed charges. Earnings available for fixed charges represent earnings before income taxes and fixed charges excluding capitalized interest. Fixed charges consist of interest expense, capitalized interest and the rental expense factor discussed above.