EXHIBIT 12.1
Pinnacle Entertainment, Inc.
Ratio of Earnings to Fixed Charges
($ in thousands)
| Year Ended December 31, | Nine Months Ended September 30, | |||||||||||||||||||||||||||||||
| 1999 | 2000 | 2001 | 2002 | 2003 | 2004 | 2004 | 2005 | |||||||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||||||||||
Pre-tax income (loss) | $ | 84,973 | $ | 131,888 | ($ | 50,555 | ) | ($ | 19,071 | ) | ($ | 34,636 | ) | $ | 17,756 | $ | 30,280 | ($ | 17,333 | ) | ||||||||||||
Add fixed charges | 69,531 | 63,903 | 53,467 | 53,792 | 59,736 | 61,549 | 45,085 | 44,673 | ||||||||||||||||||||||||
Less capitalized interest | (1,359 | ) | (8,148 | ) | (481 | ) | (788 | ) | (1,513 | ) | (5,102 | ) | (3,067 | ) | (6,663 | ) | ||||||||||||||||
Total Earnings | $ | 153,145 | $ | 187,643 | $ | 2,431 | $ | 33,933 | $ | 23,587 | $ | 74,203 | $ | 72,297 | $ | 20,677 | ||||||||||||||||
Fixed Charges: | ||||||||||||||||||||||||||||||||
Interest expense—inclusive of the amortization of debt issuance costs | $ | 64,573 | $ | 52,620 | $ | 49,853 | $ | 49,688 | $ | 54,881 | $ | 52,538 | $ | 39,858 | $ | 35,206 | ||||||||||||||||
Capitalized interest | 1,359 | 8,148 | 481 | 788 | 1,513 | 5,102 | 3,067 | 6,663 | ||||||||||||||||||||||||
Estimated interest portion in rent expense | 3,599 | 3,135 | 3,133 | 3,316 | 3,342 | 3,909 | 2,159 | 2,804 | ||||||||||||||||||||||||
Total Fixed Charges | $ | 69,531 | $ | 63,903 | $ | 53,467 | $ | 53,792 | $ | 59,736 | $ | 61,549 | $ | 45,085 | $ | 44,673 | (1) | |||||||||||||||
Ratio of earnings to fixed charges | 2.20x | 2.94x | 0.05x | 0.63x | 0.39x | 1.21x | 1.60x | 0.46x | ||||||||||||||||||||||||
| $ | 51,036 | $ | 19,859 | $ | 36,149 | $ | 23,996 | |||||||||||||||||||||||||
| (1) | Due to Hurricanes Katrina and Rita, Boomtown New Orleans and Casino Magic Biloxi's reporting was impaired. For the nine months ended September 30, 2005, rent expense was assumed to be equal with that of the prior year during the same period. |
