Nexeo Solutions, Inc. and Subsidiaries
Computation of Ratios of Earnings to Fixed Charges
The following table sets forth our ratios of earnings to fixed charges for the periods presented ($ in millions). All periods have been revised to reflect adjustments for discontinued operations related to the sale of the Predecessor's North American composites business on July 1, 2014. The Predecessor periods presented below represent the operating results of Holdings and its subsidiaries prior to the Business Combination.
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| | | | | | | | | | | | | | | | | | | | | |
| | | Successor | | | Predecessor |
| | | Fiscal Year Ended September 30, | | | Period From | Fiscal Year Ended September 30, |
| | | 2016 | | | October 1, 2015 through June 8, 2016 | 2015 | 2014 (1) | 2013 | 2012 (2) |
| | | | | | | | |
| |
| |
|
| Income (loss) from continuing operations before taxes | | $ | (7.2 | ) | | | $ | (9.7 | ) | $ | 25.1 |
| $ | (4.9 | ) | $ | 0.1 |
| $ | (17.9 | ) |
| | | | | | | | | | |
| Add: | | | | | | | | | |
| Fixed Charges | | 15.5 |
| | | 43.2 |
| 66.1 |
| 65.2 |
| 59.2 |
| 46.9 |
|
| | | | | | | | | | |
| Total adjusted earnings |
| $ | 8.3 |
| | | $ | 33.5 |
| $ | 91.2 |
| $ | 60.3 |
| $ | 59.3 |
| $ | 29.0 |
|
| | | | | | | | | | |
| | | | | | | | | | |
| Fixed Charges: | | | | | | | | | |
| Interest expense | | 13.9 |
| | | 36.2 |
| 56.1 |
| 55.8 |
| 48.1 |
| 38.8 |
|
| Amortized premiums, discounts and capitalized interest expenses related to debt | | 1.2 |
| | | 6.1 |
| 8.7 |
| 8.2 |
| 10.1 |
| 6.6 |
|
| Estimated interest expense within rental expense | | 0.4 |
| | | 0.9 |
| 1.3 |
| 1.2 |
| 1.0 |
| 1.5 |
|
| | | | | | | | | | |
| Total fixed charges | | $ | 15.5 |
| | | $ | 43.2 |
| $ | 66.1 |
| $ | 65.2 |
| $ | 59.2 |
| $ | 46.9 |
|
| | | | | | | | | | |
| Ratio of earnings to fixed charges | | — |
| | | — |
| 1.38 |
| — |
| 1.00 |
| — |
|
| |
| (1) | For the fiscal year ended September 30, 2016 for the Successor, our earnings were insufficient to cover our fixed charges by $7.2 million. |
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| (2) | For the period from October 1, 2015 through June 8, 2016, the Predecessor's earnings were insufficient to cover its fixed charges by $9.7 million. |
| |
| (3) | For the fiscal year ended September 30, 2014, the Predecessor's earnings were insufficient to cover its fixed charges by approximately $4.9 million. |
| |
| (4) | For the fiscal year ended September 30, 2012, the Predecessor's earnings were insufficient to cover its fixed charges by approximately $17.9 million. |
