EXHIBIT 12.1
RENEWABLE ENERGY GROUP, INC.
STATEMENT REGARDING COMPUTATION OF RATIOS
(in thousands)

 
 
For the year ended December 31,
 
 
2012
 
2013
 
2014
 
2015
 
2016
 
2017
Earnings (deficiency):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Pre-tax income (loss) from continuing operations before
 
 
 
 
 
 
 
 
 
 
 
 
  adjustment for equity investees
 
$
23,713

 
$
191,301

 
$
86,110

 
$
(160,411
)
 
$
48,981

 
$
(109,569
)
Add:
 
 
 
 
 
 
 
 
 
 
 
 
Fixed Charges
 
11,312

 
7,756

 
12,516

 
17,222

 
23,270

 
23,580

Amortization of cap interest
 
31

 
31

 
31

 
154

 
156

 
171

Subtract:
 
 
 
 
 
 
 
 
 
 
 
 
Interest capitalized
 
33

 
335

 
1,345

 
897

 
88

 
301

Preference security dividends
 
3,156

 
2,055

 

 

 

 

Earnings (deficiency)
 
$
31,867

 
$
196,698

 
$
97,312

 
$
(143,932
)
 
$
72,319

 
$
(86,119
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense and amortization of costs related to indebtedness
 
$
4,679

 
$
2,397

 
$
6,690

 
$
11,867

 
$
15,987

 
$
18,755

Interest capitalized
 
33

 
335

 
1,345

 
897

 
88

 
301

Estimate of interest within rental expenses
 
3,444

 
2,969

 
4,441

 
4,458

 
7,195

 
4,524

Preference security dividends
 
3,156

 
2,055

 
40

 

 

 

Total fixed charges
 
$
11,312

 
$
7,756

 
$
12,516

 
$
17,222

 
$
23,270

 
$
23,580

 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges including Preference Security Dividends(1) (2)
 
2.8
 
25.4
 
7.8
 
 
3.1
 
Deficiency in the coverage of fixed charges
 
 N/A
 
 N/A
 
 N/A
 
$
161,154

 
N/A

 
$
109,699


(1) Fixed charges. The term “fixed charges” means the sum of the following: (a) interest expensed and capitalized, (b) amortized premiums, discounts and capitalized expenses related to indebtedness, (c) an estimate of the interest within rental expense, and (d) preference security dividend requirements of consolidated subsidiaries.

(2) Our net losses were insufficient to cover fixed charges in the years 2015 and 2017. Because of these deficiencies, the ratio information is not applicable.