EX-12 3 q22018-ex12.htm EXHIBIT 12
Exhibit 12
UNISYS CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS (UNAUDITED)
($ in millions)

|  | Six Months Ended June 30, 2018 |  | Years Ended December 31,
|  |  | 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013
Fixed charges |  |  |  |  |  |  |  |  |  |  |  |
Interest expense |  | $ | 32.3 |  |  | $ | 52.8 |  |  | $ | 27.4 |  |  | $ | 11.9 |  |  | $ | 9.2 |  |  | $ | 9.9 |
Interest capitalized during the period |  | 2.6 |  |  | 4.2 |  |  | 3.0 |  |  | 3.1 |  |  | 4.0 |  |  | 3.2 |
Amortization of revolving credit facility expenses |  | 0.1 |  |  | 0.7 |  |  | 0.4 |  |  | 1.5 |  |  | 1.6 |  |  | 1.6 |
Portion of rental expense representative of interest |  | 11.6 |  |  | 23.9 |  |  | 25.8 |  |  | 26.9 |  |  | 27.9 |  |  | 28.4 |
Total Fixed Charges |  | 46.6 |  |  | 81.6 |  |  | 56.6 |  |  | 43.4 |  |  | 42.7 |  |  | 43.1 |
Preferred stock dividend requirements(i) |  | — |  |  | — |  |  | — |  |  | — |  |  | 2.7 |  |  | 16.2 |
Total fixed charges and preferred stock dividends |  | 46.6 |  |  | 81.6 |  |  | 56.6 |  |  | 43.4 |  |  | 45.4 |  |  | 59.3 |
Earnings |  |  |  |  |  |  |  |  |  |  |  |
Income (loss) before income taxes |  | 82.9 |  |  | (72.1 | ) |  | 20.5 |  |  | (58.8 | ) |  | 145.5 |  |  | 219.4 |
Add amortization of capitalized interest |  | 1.8 |  |  | 3.2 |  |  | 3.1 |  |  | 3.7 |  |  | 4.5 |  |  | 5.0 |
Subtotal |  | 84.7 |  |  | (68.9 | ) |  | 23.6 |  |  | (55.1 | ) |  | 150.0 |  |  | 224.4 |
Fixed charges per above |  | 46.6 |  |  | 81.6 |  |  | 56.6 |  |  | 43.4 |  |  | 42.7 |  |  | 43.1 |
Less interest capitalized during the period |  | (2.6 | ) |  | (4.2 | ) |  | (3.0 | ) |  | (3.1 | ) |  | (4.0 | ) |  | (3.2 | )
Total earnings |  | $ | 128.7 |  |  | $ | 8.5 |  |  | $ | 77.2 |  |  | $ | (14.8 | ) |  | $ | 188.7 |  |  | $ | 264.3 |
Ratio of earnings to fixed charges |  | 2.76 |  |  | * |  |  | 1.36 |  |  | * |  |  | 4.42 |  |  | 6.13 |
Ratio of earnings to fixed charges and preferred stock dividends(ii) |  | 2.76 |  |  | N/A |  |  | 1.36 |  |  | N/A |  |  | 4.16 |  |  | 4.46 |

(i) | Amounts have not been grossed up for income taxes since the preferred stock was issued by the U.S. parent corporation which has a valuation allowance against its net deferred tax assets.

(ii) | The ratio of earnings to fixed charges and preferred stock dividends is calculated by dividing total earnings by total fixed charges and preferred stock dividends.

* | Earnings for the years ended December 31, 2017 and 2015 were inadequate to cover fixed charges by $73.1 million and $58.2 million, respectively.