Exhibit 12.1
Computation of Ratio of Earnings to Combined Fixed Charges and Preference Dividends
(In thousands, except ratios)
| Six Months Ended June 30, | Years Ended December 31, | ||||||||||||||||||||||||
| 2009 | 2008 | 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||||||||||
Earnings | |||||||||||||||||||||||||
Pre-tax (loss) income | $ | (1,647,096 | ) | $ | (239,205 | ) | $ | (533,005 | ) | $ | 86,035 | $ | 189,098 | $ | (25,697 | ) | $ | 9,246 | |||||||
Fixed charges | 115,615 | 66,399 | 156,713 | 133,474 | 89,086 | 25,795 | 3,269 | ||||||||||||||||||
Total earnings | $ | (1,531,481 | ) | $ | (172,806 | ) | $ | (376,292 | ) | $ | 219,509 | $ | 278,184 | $ | 98 | $ | 12,515 | ||||||||
Fixed charges | |||||||||||||||||||||||||
Interest expense and amortization of finance costs | $ | 114,814 | $ | 65,768 | $ | 155,361 | $ | 132,264 | $ | 88,414 | $ | 25,551 | $ | 3,178 | |||||||||||
Rental expense representative of interest factor | 801 | 631 | 1,352 | 1,210 | 672 | 244 | 91 | ||||||||||||||||||
Total fixed charges | $ | 115,615 | $ | 66,399 | $ | 156,713 | $ | 133,474 | $ | 89,086 | $ | 25,795 | $ | 3,269 | |||||||||||
Ratio of earnings to fixed charges | — | (1) | — | (2) | — | (3) | 1.6 | 3.1 | — | (4) | 3.8 | ||||||||||||||
Total fixed charges | $ | 115,615 | $ | 66,399 | $ | 156,713 | $ | 133,474 | $ | 89,086 | $ | 25,795 | $ | 3,269 | |||||||||||
Pre-tax preferred dividend requirements | — | — | — | — | 352 | 680 | 507 | ||||||||||||||||||
Total fixed charges plus preference dividends | $ | 115,615 | $ | 66,399 | $ | 156,713 | $ | 133,474 | $ | 89,438 | $ | 26,475 | $ | 3,776 | |||||||||||
Ratio of earnings to combined fixed charges and preference dividends | — | (1) | — | (2) | — | (3) | 1.6 | 3.1 | — | (5) | 3.3 | ||||||||||||||
| (1) | Due to the Company’s loss for the six months ended June 30, 2009, the ratio coverage was less than 1:1. The Company would have had to generate additional earnings of $1.6 billion to achieve a coverage ratio of 1:1. |
| (2) | Due to the Company’s loss for the six months ended June 30, 2008, the ratio coverage was less than 1:1. The Company would have had to generate additional earnings of $239.2 million to achieve a coverage ratio of 1:1. |
| (3) | Due to the Company’s loss in 2008, the ratio coverage was less than 1:1. The Company would have had to generate additional earnings of $533.0 million to achieve a coverage ratio of 1:1. |
| (4) | Due to the Company’s loss in 2005, the ratio coverage was less than 1:1. The Company would have had to generate additional earnings of $25.7 million to achieve a coverage ratio of 1:1. |
| (5) | Due to the Company’s loss in 2005, the ratio coverage was less than 1:1. The Company would have had to generate additional earnings of $26.4 million to achieve a coverage ratio of 1:1. |
