Exhibit 12
Warner Chilcott Holdings Company III, Limited
Computation of Earnings to Fixed Charges
Fiscal Year Ended September 30, | Quarter Ended December 31, | Year Ended December 31, | |||||||||||||||||
Predecessor | Predecessor | Successor | |||||||||||||||||
2001 | 2002 | 2003 | 2004 | Unaudited 2003 | 2004 | 2005 | Pro Forma 2005 | ||||||||||||
(dollars in thousands) | |||||||||||||||||||
Fixed Charges: | |||||||||||||||||||
Interest expense (a) | 25,802 | 30,645 | 11,305 | 11,103 | 3,618 | 1,877 | 149,393 | 157,645 | |||||||||||
Interest capitalized during the period | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Lease rental expense, buildings (b) | 593 | 546 | 542 | 497 | 211 | 298 | 1,574 | 1,574 | |||||||||||
Fixed Charges | 26,395 | 31,191 | 11,847 | 11,600 | 3,830 | 2,176 | 150,967 | 159,219 | |||||||||||
Earnings | |||||||||||||||||||
Income before taxes from continuing operations | 5,927 | 52,523 | 127,670 | 202,367 | 52,607 | (17,530 | ) | (538,235 | ) | (496,536 | ) | ||||||||
+ Fixed Charges | 26,395 | 31,191 | 11,847 | 11,600 | 3,830 | 2,176 | 150,967 | 159,219 | |||||||||||
+ Amortization of previously capitalized interest | 53 | 53 | 53 | 53 | 13 | 13 | 0 | 0 | |||||||||||
Earnings | 32,375 | 83,767 | 139,570 | 214,020 | 56,450 | (15,341 | ) | (387,268 | ) | (337,317 | ) | ||||||||
Ratio of Earnings to Fixed Charges | 1.2 | 2.7 | 11.8 | 18.5 | 14.7 | (7.1 | ) | (2.6 | ) | (2.1 | ) | ||||||||
Shortfall amount if ratio less than zero | (17,517 | ) | (538,235 | ) | (496,536 | ) | |||||||||||||
(a) | Interest expenses including both continuing and discontinued operations; includes amortization of previously capitalized interest |
(b) | Portion of lease rental expense from both continuing and discontinued operations that represents interest cost, estimated by management to be one-third of lease rental expense |