Exhibit 12
Hornbeck Offshore Services, Inc.
Calculation of Ratio of Earnings to Fixed Charges
Year Ended December 31, | Nine Months September 30, | ||||||||||||||||||
1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2004 | 2005 | ||||||||||||
Fixed charges: | |||||||||||||||||||
Interest expense | 7,524 | 15,478 | 16,646 | 16,207 | 18,523 | 17,698 | 13,890 | 8,550 | |||||||||||
Capitalized interest | 1,628 | 365 | 3,075 | 3,867 | 2,734 | 3,004 | 1,900 | 2,900 | |||||||||||
Total fixed charges | 9,152 | 15,843 | 19,721 | 20,074 | 21,257 | 20,702 | 15,790 | 11,450 | |||||||||||
Pre-tax income | (1,393 | ) | (2,974 | ) | 12,756 | 18,786 | 18,048 | (3,803 | ) | 12,055 | 35,284 | ||||||||
Interest expense | 7,524 | 15,478 | 16,646 | 16,207 | 18,523 | 17,698 | 13,890 | 8,550 | |||||||||||
Earnings | 6,131 | 12,504 | 29,402 | 34,993 | 36,571 | 13,895 | 25,945 | 43,834 | |||||||||||
Ratio of earnings to fixed charges (1)(2) | — | — | 1.5x | 1.7x | 1.7x | — | 1.64 | 3.83 |
(1) | Calculated as earnings divided by fixed charges. For the purpose of computing the ratio of earnings to fixed charges, earnings consist of income from continuing operations plus fixed charges, excluding capitalized interest. Fixed charges consist of interest whether expensed or capitalized and amortization of loan costs. In fiscal years 1999, 2000 and 2004 our earnings were insufficient to cover fixed charges by approximately $3.0 million, $3.3 million and $6.8 million, respectively. |
(2) | If we adjust earnings to exclude the impact of loss on the early extinguishment of debt incurred in the 2001, 2004 and nine months ended September 30, 2005 periods reflected above, the ratio of earnings to fixed charges, as so adjusted, would be 1.64x and 1.76x for the years ended December 31, 2001 and 2004, respectively, and 3.98 for the nine months ended September 30, 2005. |