Exhibit 12.1
SandRidge Energy, Inc.
Computation of Ratio of Earnings to Fixed Charges
Six Months Ended June 30, | Year Ended December 31, | ||||||||||||||||||||||||||
2010 | 2009 | 2009 | 2008 | 2007 | 2006 | 2005 | |||||||||||||||||||||
(dollars in thousands) | |||||||||||||||||||||||||||
Fixed Charges: | |||||||||||||||||||||||||||
Interest expense(a) | $ | 118,009 | (a) | $ | 86,825 | (a) | $ | 185,137 | (b) | $ | 138,282 | (b) | $ | 117,185 | $ | 16,904 | $ | 5,277 | |||||||||
Interest component of rent | 351 | 249 | 1,052 | 800 | 767 | 367 | 367 | ||||||||||||||||||||
Capitalized interest | — | — | — | 365 | 1,987 | 1,378 | — | ||||||||||||||||||||
Total | 118,450 | 87,074 | $ | 187,189 | $ | 139,447 | $ | 119,939 | $ | 18,649 | $ | 5,644 | |||||||||||||||
Earnings: | |||||||||||||||||||||||||||
Pretax income from continuing operations(c) | 80,914 | (1,247,999 | ) | $ | (1,785,326 | ) | $ | (1,481,006 | ) | $ | 75,373 | $ | 20,890 | $ | 28,245 | ||||||||||||
Fixed charges | 118,450 | 87,074 | 187,189 | 139,447 | 119,939 | 18,649 | 5,644 | ||||||||||||||||||||
Less: interest capitalized in current period | — | — | — | (365 | ) | (1,987 | ) | (1,378 | ) | — | |||||||||||||||||
Add: previously capitalized interest | 111 | 111 | |||||||||||||||||||||||||
amortized in current period | 222 | 481 | 197 | — | — | ||||||||||||||||||||||
Total | $ | 199,475 | (1,160,814 | ) | $ | (1,597,915 | ) | $ | (1,341,443 | ) | $ | 193,522 | $ | 38,161 | $ | 33,889 | |||||||||||
Ratio of Earnings to Fixed Charges | 1.7 | — | — | — | 1.6 | 2.0 | 6.0 | ||||||||||||||||||||
Insufficient coverage | — | 1,247,888 | $ | 1,785,104 | $ | 1,480,890 | $ | — | $ | — | $ | — |
(a) | Interest expense for the six months ended June 30, 2010 and 2009 excludes the effects of $8.2 million and ($3.7) million unrealized loss (gain), respectively, on interest rate swaps. |
(b) | Interest expense for the years ended December 31, 2009 and 2008 excludes the effects of $(0.4) million and $8.7 million unrealized loss (gain), respectively, on interest rate swaps. |
(c) | Excludes undistributed income from equity investees. |