Allis-Chalmers Tubular Services S-3 Shelf registration

Exhibit 12.1

RATIO OF EARNINGS TO FIXED CHARGES

We have computed the ratio of earnings to fixed charges for each of the following periods on a consolidated basis. For purposes of computing the ratio of earnings to fixed charges, “earnings” consist of pre-tax income (loss) before adjustment for minority interests in consolidated subsidiaries or income or loss from equity investees, plus fixed charges (excluding capitalized interest and preferred stock dividend requirement) and amortization of capitalized interest. Fixed charges consist of interest (whether expensed or capitalized), amortization of debt expenses, preferred stock dividend requirement and an estimate of the interest within rental expense. The preferred stock dividend requirement is the amount of pre-tax earnings that is required to pay the dividends on our outstanding preference securities.

	Nine Months
	Ended
	September 30,			Years Ended December 31,
	2009			2008			2007			2006			2005			2004
	(In thousands, except ratios)
Earnings:
Income from operations before income taxes and minority interest	$	(19,147	)	$	(56,877	)	$	79,283		$	47,046		$	9,007		$	1,723
Interest on indebtedness, including amortization of deferred loan costs		37,492			48,411			49,534			21,309			4,746			2,872
Amortization of capitalized interest		71			24			—			—			—			—
Portion of rents representative of interest expense		247			283			270			160			99			58
Earnings, as adjusted	$	18,663		$	(8,159	)	$	129,087		$	68,515		$	13,852		$	4,653
Fixed Charges:
Interest on indebtedness, including amortization of deferred loan costs	$	37,492		$	48,411		$	49,534		$	21,309		$	4,746		$	2,872
Capitalized interest		1,411			1,900			—			—			—			—
Preferred stock dividend requirement		1,031			—			—			—			—			196
Portion of rents representative of interest expense		247			283			270			160			99			58
Total fixed charges	$	40,181		$	50,594		$	49,804		$	21,469		$	4,845		$	3,126
Ratio of earnings to fixed charges		0.46	x(1)		(0.16	)x(2)		2.59	x		3.19	x		2.86	x		1.49	x

(1)	For the year ended December 31, 2008, earnings were inadequate to cover fixed charges due to a deficiency of approximately $58.8 million; excluding a charge for goodwill impairment of $115.8 million from income from operations, the ratio of earnings to fixed charges would have been 2.13x.
(2)	For the period ended September 30, 2009, earnings were inadequate to cover fixed charges due to a deficiency of approximately $21.5 million; excluding a gain on debt extinguishment of $26.4 million from income from operations, the deficiency would have been $47.9 million.