EXHIBIT 12.1
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
TEXAS INDUSTRIES, INC. AND SUBSIDIARIES
TEXAS INDUSTRIES, INC. AND SUBSIDIARIES
| Three Months Ended | |||||||||||||||||||||||||||||||
| Year Ended May 31, | August 31, | ||||||||||||||||||||||||||||||
| In thousands except ratios | 2001 | 2002 | 2003 | 2004 | 2005 | 2005 (1) | 2004 | 2005 | |||||||||||||||||||||||
| (Pro forma) | |||||||||||||||||||||||||||||||
| Earnings | |||||||||||||||||||||||||||||||
| Income (loss) from continuing operations before income taxes and changes in accounting principles | $ | 99,968 | $ | 75,577 | $ | 40,650 | $ | 59,096 | $ | 62,255 | $ | 53,864 | $ | 10,176 | $ | (92,972 | ) | ||||||||||||||
| Fixed charges | 31,824 | 26,771 | 21,058 | 31,240 | 30,044 | 38,435 | 6,809 | 10,749 | |||||||||||||||||||||||
| Amortization of capitalized interest | — | 1,100 | 1,100 | 1,100 | 1,100 | 1,100 | 275 | 275 | |||||||||||||||||||||||
| Less: Interest capitalized | (15,601 | ) | — | — | — | — | — | — | — | ||||||||||||||||||||||
| Adjusted earnings | $ | 116,191 | $ | 103,448 | $ | 62,808 | $ | 91,436 | $ | 93,399 | $ | 93,399 | $ | 17,260 | $ | (81,948 | ) | ||||||||||||||
| Fixed charges | |||||||||||||||||||||||||||||||
| Interest expense | $ | 6,143 | $ | 15,433 | $ | 11,025 | $ | 21,012 | $ | 21,824 | $ | 29,551 | $ | 4,764 | $ | 8,835 | |||||||||||||||
| Interest capitalized | 15,601 | — | — | — | — | — | — | — | |||||||||||||||||||||||
| Net amortization of debt discount, premium and issuance expense | 2,685 | 4,346 | 3,802 | 3,090 | 1,709 | 2,373 | 366 | 429 | |||||||||||||||||||||||
| Interest portion of rent expense | 7,395 | 6,992 | 6,231 | 7,138 | 6,511 | 6,511 | 1,679 | 1,485 | |||||||||||||||||||||||
| Total fixed charges | $ | 31,824 | $ | 26,771 | $ | 21,058 | $ | 31,240 | $ | 30,044 | $ | 38,435 | $ | 6,809 | $ | 10,749 | |||||||||||||||
| Ratio of earnings to fixed charges | 3.65 | 3.86 | 2.98 | 2.93 | 3.11 | 2.43 | 2.53 | — | |||||||||||||||||||||||
| Deficiency of earnings to cover fixed charges | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | $ | 92,697 | |||||||||||||||
| (1) | Pro forma after giving effect to the spin-off and related refinancing transactions as if they had occurred as of the beginning of the fiscal year. |