Exhibit 12
Calculation of Ratios of Earnings to Fixed Charges
Year Ended December 31, | ||||||||||||||||||||
2007 | 2006 | 2005 | 2004 | 2003 | ||||||||||||||||
(in thousands, except ratios) | ||||||||||||||||||||
RATIO OF EARNINGS TO FIXED CHARGES: | ||||||||||||||||||||
Pre-tax (loss) income from continuing operations before adjustment for | ||||||||||||||||||||
income from equity investee | $ | (244,526 | ) | $ | (11,750 | ) | $ | (12,390 | ) | $ | (14,321 | ) | $ | 11,564 | ||||||
Fixed charges: | ||||||||||||||||||||
Interest expense (a) | 83,025 | 26,570 | 21,795 | 22,114 | 9,711 | |||||||||||||||
Preferred stock accretion and dividends | — | — | — | 10 | 448 | |||||||||||||||
Interest portion of rent expense (b) | 4,351 | 2,956 | 2,504 | 1,849 | 1,439 | |||||||||||||||
Total fixed charges | 87,376 | 29,526 | 24,299 | 23,973 | 11,598 | |||||||||||||||
Total earnings (loss) | $ | (157,151 | ) | $ | 17,776 | $ | 11,909 | $ | 9,652 | $ | 23,162 | |||||||||
Ratio of earnings to fixed charges | — | 0.2 | x | 0.5 | x | 0.4 | x | 2.0 | x | |||||||||||
Ratio of coverage deficiency | (c | ) | (c | ) | (c | ) | (c | ) | — |
(a) | Interest expense includes the write-off and amortization of deferred financing costs and the write-off and amortization of non-cash discounts associated with our debt issuances. | |
(b) | Includes approximately one-fourth of the rent expense for each period presented which management believes is a reasonable approximation of the interest component of such rentals. | |
(c) | Due to the loss from operations for the years ended December 31, 2007, 2006, 2005 and 2004, there were insufficient earnings of $244.5 million, $11.8 million, $12.4 million and $14.3 million, respectively, to cover fixed charges. |