Exhibit 12.1
STAR GAS PARTNERS, L.P.
STATEMENT OF COMPUTATION OF EARNINGS TO FIXED CHARGES
(In Thousands of Dollars, Except Ratio)
Year Ended September 30 | Six Months Ended March 31 | |||||||||||||||||||||||||||
2010(1) | 2009 | 2008 | 2007 | 2006 | 2011 | 2010 | ||||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||||||
Income (loss) before income taxes | $ | 43,952 | $ | 73,441 | $ | (12,842 | ) | $ | 41,304 | $ | (53,442 | ) | $ | 121,718 | $ | 92,453 | ||||||||||||
Add: | ||||||||||||||||||||||||||||
Interest expense | 14,326 | 17,842 | 20,691 | 20,448 | 26,288 | 8,539 | 8,155 | |||||||||||||||||||||
Debt issuance amortization | 2,680 | 2,750 | 2,339 | 2,282 | 2,438 | 1,426 | 1,328 | |||||||||||||||||||||
Interest component of rent expense (2) | 4,426 | 5,278 | 4,626 | 4,418 | 4,458 | 2,264 | 2,130 | |||||||||||||||||||||
$ | 65,384 | $ | 99,311 | $ | 14,814 | $ | 68,452 | $ | (20,258 | ) | $ | 133,947 | $ | 104,066 | ||||||||||||||
Fixed charges: | ||||||||||||||||||||||||||||
Interest expense | $ | 14,326 | $ | 17,842 | $ | 20,691 | $ | 20,448 | $ | 26,288 | $ | 8,539 | $ | 8,155 | ||||||||||||||
Debt issuance amortization | 2,680 | 2,750 | 2,339 | 2,282 | 2,438 | 1,426 | 1,328 | |||||||||||||||||||||
Interest component of rent expense (2) | 4,426 | 5,278 | 4,626 | 4,418 | 4,458 | 2,264 | 2,130 | |||||||||||||||||||||
$ | 21,432 | $ | 25,870 | $ | 27,656 | $ | 27,148 | $ | 33,184 | $ | 12,229 | $ | 11,613 | |||||||||||||||
Ratio(3) | 3.1 | 3.8 | * | 2.5 | * | 11.0 | 9.0 |
(1) | The following computation for the year ended September 30, 2010, reflect, on a pro-forma basis, earnings available for fixed charges, fixed charges and resultant ratios. The computation gives effect to our sale of $125 million (excluding discount) of 8.875% senior notes due 2017 and the use of a portion of the net proceeds to redeem our 10.25% senior notes due 2013. |
(Amounts in 000’s, except ratio) | 2010 | |||
Income as adjusted | $ | 65,384 | ||
Fixed charges | $ | 21,432 | ||
Pro-forma adjustments: | ||||
Net increases in interest resulting from the substitution of proceeds from sale of the 8.875% | ||||
Senior Notes for the 10.25% Senior Notes | 2,729 | |||
Pro-forma fixed charges | $ | 24,161 | ||
Pro-forma ratio of earnings to fixed charges | 2.71 |
(2) | One third of rent is the portion deemed representative of the interest component. |
(3) | Ratio is less than 1:1. Deficiency is $12.8 million and $53.4 million for the fiscal years ended September 30, 2008 and 2006, respectively. |