Headwaters 10-Q 2013 Q3 Quarterly report

Exhibit 12

Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

																Nine Months Ended
	Year Ended September 30,															June 30,
(in thousands)	2008			2009			2010			2011			2012			2013
Fixed Charges Computation
Interest expensed and capitalized (1)	$	23,092		$	33,961		$	55,908		$	106,557		$	38,809		$	28,001
Amortized premiums, discounts, and capitalized expenses related to indebtedness	8,747			13,459			16,027			20,069			14,184			4,999
Reasonable approximation of interest within rental expense	3,180			3,377			3,670			3,323			3,106			2,561
Total Fixed Charges and Preferred Equity Dividends	$	35,019		$	50,797		$	75,605		$	129,949		$	56,099		$	35,561
Earnings Computation
Pre-tax income from continuing operations before adjustment for minority interests in consolidated subsidiaries or income or loss from equity investees	$	(166,432	)	$	(491,730	)	$	(46,390	)	$	(138,093	)	$	(16,454	)	$	(4,359	)
Plus
Fixed charges	35,019			50,797			75,605			129,949			56,099			35,561
Minus
Interest capitalized	894			1,396			441			91			137			141
Total Earnings	$	(132,307	)	$	(442,329	)	$	28,774		$	(8,235	)	$	39,508		$	31,061
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends	N/A		*	N/A		*	0.38			N/A		*	0.70			0.87

*      Total earnings for these periods were less than zero dollars.  The deficiency of earnings to fixed charges for the years ended September 30, 2008, 2009, and 2011 were $167.3 million, $493.1 million, and $138.2 million, respectively.

(1)   Interest expense associated with unrecognized tax benefits is included in income tax expense, not with interest expense.