Exhibit 12
Warner Chilcott Limited
Computation of Earnings to Fixed Charges
Fiscal Year Ended September 30, | Quarter Ended December 31, | Year Ended December 31, | Six Months Ended June 30, | |||||||||||||||||||||||||
Predecessor | Predecessor | Successor | Successor | |||||||||||||||||||||||||
Unaudited | Pro Forma | (Unaudited) | Pro Forma | |||||||||||||||||||||||||
2001 | 2002 | 2003 | 2004 | 2003 | 2004 | 2005 | 2005 | 2005 | 2006 | 2006 | ||||||||||||||||||
(dollars in thousands) | ||||||||||||||||||||||||||||
Fixed Charges: | ||||||||||||||||||||||||||||
Interest expense (a) | 25,802 | 30,645 | 11,305 | 11,103 | 3,618 | 1,877 | 149,393 | 107,949 | 67,963 | 91,899 | 64,638 | |||||||||||||||||
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 | 712 | 957 | 957 | |||||||||||||||||
Fixed Charges | 26,395 | 31,191 | 11,847 | 11,600 | 3,830 | 2,176 | 150,967 | 109,523 | 68,675 | 92,856 | 65,595 | |||||||||||||||||
Earnings | ||||||||||||||||||||||||||||
Income before taxes from continuing operations | 5,927 | 52,523 | 127,670 | 202,367 | 52,607 | (17,530 | ) | (569,768 | ) | (448,502 | ) | (423,445 | ) | (60,345 | ) | (14,592 | ) | |||||||||||
+ Fixed Charges | 26,395 | 31,191 | 11,847 | 11,600 | 3,830 | 2,176 | 150,967 | 109,523 | 68,675 | 92,856 | 65,595 | |||||||||||||||||
+ Amortization of previously capitalized interest | 53 | 53 | 53 | 53 | 13 | 13 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||
Earnings | 32,375 | 83,767 | 139,570 | 214,020 | 56,450 | (15,341 | ) | (418,801 | ) | (338,979 | ) | (354,770 | ) | 32,511 | 51,003 | |||||||||||||
Ratio of Earnings to Fixed Charges | 1.2 | 2.7 | 11.8 | 18.5 | 14.7 | (7.1 | ) | (2.8 | ) | (3.1 | ) | (5.2 | ) | 0.4 | 0.8 | |||||||||||||
Shortfall amount if ratio less than zero | (17,517 | ) | (569,768 | ) | (448,502 | ) | (423,445 | ) | (60,345 | ) | (14,592 | ) | ||||||||||||||||
(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 |