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PENINSULA GAMING, LLC
Computation of Ratio of Earnings to Fixed Charges
(amounts in thousands except ratio information)
| | Period from July 15, 1999 to December 31, 1999 | 2000 | 2001 | 2002 | 2003 | Six- Months Ended June 30, 2003 | Six- Months Ended June 30, 2004 | Pro Forma 2003 | Pro Forma Six- Months Ended June 30, 2004 | |||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total earnings | $ | (2,437 | ) | $ | 1,245 | $ | 1,819 | $ | (732 | ) | $ | (12,742 | ) | $ | (4,978 | ) | $ | (42,300 | ) | $ | (11,180 | ) | $ | (3,666 | ) | |||
| Fixed charges: | ||||||||||||||||||||||||||||
| Interest charges (including capitalized interest and interest expense related to preferred members' interest) | 4,041 | 8,712 | 8,729 | 10,487 | 24,113 | 10,733 | 13,299 | 22,731 | 12,232 | |||||||||||||||||||
| Amortization of deferred financing costs and bond discount | 342 | 795 | 911 | 1,494 | 3,161 | 1,596 | 1,383 | 3,161 | 1,383 | |||||||||||||||||||
| Loss on early retirement of debt | — | — | — | — | — | — | 37.566 | — | — | |||||||||||||||||||
| Total fixed charges | 4,383 | 9,507 | 9,640 | 11,981 | 27,274 | 12,329 | 52,248 | 25,892 | 13,615 | |||||||||||||||||||
| Capitalized interest | — | — | — | (93 | ) | (2,202 | ) | (500 | ) | (481 | ) | (2,202 | ) | (481 | ) | |||||||||||||
| Earnings as adjusted | $ | 1,946 | $ | 10,752 | $ | 11,459 | $ | 11,156 | $ | 12,330 | $ | 6,851 | $ | 9,467 | $ | 12,510 | $ | 9,468 | ||||||||||
| Ratio of earnings to fixed charges | 0.4x | 1.1x | 1.2x | 0.9x | 0.5x | 0.6x | 0.2x | 0.5x | 0.7x | |||||||||||||||||||
Earnings were insufficient to cover fixed charges for the period from July 15, 1999 to December 31, 1999, the fiscal years ended December 31, 2002 and 2003 and the six-months ended June 30, 2003 and 2004 by $2.4 million, $0.8 million, $14.9 million, $5.5 million and $42.8 million, respectively. Pro forma earnings were insufficient to cover fixed charges for the fiscal year ended December 31, 2003 and the six-months ended June 30, 2004 by $13.4 million and $4.1 million, respectively.