Exhibit 12.1
Statement of Computation of Ratio of Earnings to Fixed Charges
(UNAUDITED)
Atlas Energy Resources, LLC
(amounts in thousands except ratios)
| Three Months | ||||||||||||
| Year Ended | Ended | |||||||||||
| December 31, | December 31, | March 31, | ||||||||||
| 2007 | 2008 | 2009 | ||||||||||
Earnings: | ||||||||||||
| Income before income tax expense | $ | 117,536 | $ | 142,843 | (2) | $ | 25,603 | (2) | ||||
| Fixed charges | 33,153 | 61,721 | 15,095 | |||||||||
| Equity income of unconsolidated subsidiary | 158 | (233 | ) | (69 | ) | |||||||
| Interest capitalized | (2,730 | ) | (4,994 | ) | (1,977 | ) | ||||||
| Amortization of previously capitalized interest | 191 | 423 | 485 | |||||||||
| Total | $ | 148,308 | $ | 199,760 | $ | 39,137 | ||||||
Fixed Charges: | ||||||||||||
| Interest cost and debt expense | $ | 30,096 | $ | 56,306 | $ | 12,984 | ||||||
Interest allocable to rental expense(1) | 327 | 421 | 134 | |||||||||
| Interest capitalized | 2,730 | 4,994 | 1,977 | |||||||||
| Total Fixed charges | $ | 33,153 | $ | 61,721 | $ | 15,095 | ||||||
Ratio of Earnings to Fixed Charges | 4.47 | x | 3.24 | x | 2.59 | x | ||||||
| (1) | Represents one-third of the total operating lease rental expense which is that portion deemed to be interest. | |
| (2) | Income before income tax expense has been restated (increased) by $32,000 and $64,000 for the years ended December 31, 2007 and 2008, respectively, to reflect the adoption of Statement of Financial Accounting Standard No. 160, “Noncontrolling interest in Consolidated Financial Statements — an amendment of ARB No. 51.” |