Mercury Systems (MRCY) 10-Q 2008 Q3 Quarterly report

EXHIBIT 12.1

MERCURY COMPUTER SYSTEMS, INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Dollars in thousands)

	Year Ended June 30, 2003		Year Ended June 30, 2004		Year Ended June 30, 2005		Year Ended June 30, 2006			Year Ended June 30, 2007			Nine Months Ended March 31, 2008
Income (loss) before income taxes	$	32,870	$	32,233	$	43,123	$	(17,110	)	$	(35,259	)	$	(11,830	)
Fixed charges:
Interest expense		923		1,304		3,448		3,262			3,395			2,524
Portion of rental expense representative of interest factor		310		366		593		805			1,010			1,102
Amortization of deferred financing fees		—		137		718		840			846			634
Total fixed charges	$	1,233	$	1,807	$	4,759	$	4,907		$	5,251		$	4,260
Income (loss) before income taxes plus fixed charges	$	34,103	$	34,040	$	47,882	$	(12,203	)	$	(30,008	)	$	(7,570	)
Ratio of earnings to fixed charges (A)		27.7		18.8		10.1		(2.5	)		(5.7	)		(1.8	)
Coverage deficiency	$	—	$	—	$	—	$	17,110		$	35,259		$	11,830

(A) The ratio of earnings to fixed charges is calculated by dividing (a) earnings before income taxes and fixed charges by (b) fixed charges. Fixed charges include interest expense (including an estimate of the interest within rental expense) and amortization of deferred financing fees.