Exhibit 12.1
Omnicare, Inc.
Computation of Ratio of Earnings to Fixed Charges
(In Thousands, Except Ratios)
| For the Years Ended December 31, | Nine Months Ended September 30, | |||||||||||||||||||||
| 1997 | 1998 | 1999 | 2000 | 2001 | 2001 | 2002 | ||||||||||||||||
| Income before Income Taxes (1) | $ | 95,933 | $ | 135,866 | $ | 91,671 | $ | 77,523 | $ | 119,785 | $ | 82,272 | $ | 140,625 | ||||||||
| Add: | ||||||||||||||||||||||
| Interest Expense | 6,556 | 23,611 | 46,166 | 55,074 | 56,324 | 42,525 | 42,990 | |||||||||||||||
| Interest Portion of Rent Expense | 4,448 | 6,838 | 8,436 | 9,300 | 9,033 | 6,106 | 7,691 | |||||||||||||||
| Income, as Adjusted | $ | 106,937 | $ | 166,315 | $ | 146,273 | $ | 141,897 | $ | 185,142 | $ | 130,903 | $ | 191,306 | ||||||||
| Fixed Charges | ||||||||||||||||||||||
| Interest Expense | $ | 6,556 | $ | 23,611 | $ | 46,166 | $ | 55,074 | $ | 56,324 | $ | 42,525 | $ | 42,990 | ||||||||
| Capitalized Interest | 744 | 976 | 1,688 | 0 | 0 | 0 | 0 | |||||||||||||||
| Interest Portion of Rent Expense | 4,448 | 6,838 | 8,436 | 9,300 | 9,033 | 6,106 | 7,691 | |||||||||||||||
| Fixed Charges | $ | 11,748 | $ | 31,425 | $ | 56,290 | $ | 64,374 | $ | 65,357 | $ | 48,631 | $ | 50,681 | ||||||||
| Ratio of Earnings to Fixed Charges (2) | 9.1x | 5.3x | 2.6x | 2.2x | 2.8x | 2.7x | 3.8x | |||||||||||||||
| (1) | Includes certain special items such as restructuring and other related charges, pooling-of-interests acquisition expenses and other expenses. See the “Notes to Consolidated Financial Statements” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” which appear in our Annual Report on Form 10-K for the year ended December 31, 2001 and our Quarterly Report on Form 10-Q for the quarter ended September 30, 2002 for a further description of these special items. |
| (2) | The ratio of earnings to fixed charges has been computed by dividing earnings before income taxes plus fixed charges (excluding capitalized interest expense) by fixed charges. Fixed charges consist of interest expense on debt (including amortization of debt expense and capitalized interest) and one-third (the proportion deemed representative of the interest portion) of rent expense. |
