Exhibit 12.1
Griffon Corporation
Computation of Ratios of Earnings to Fixed Charges
(unaudited)
(dollars in thousands)
Nine Months Ended | ||||||||||||||||||||||||
2013 | 2014 | 2015 | 2016 | 2017 | June 30, 2018 | |||||||||||||||||||
EARNINGS: | ||||||||||||||||||||||||
Pre-tax Income | $ | 11,779 | $ | (20,957 | )(a) | $ | 19,066 | $ | 32,213 | (b) | $ | 16,698 | (c) | $ | 10,117 | (d) | ||||||||
Fixed Charges | 59,002 | 57,677 | 57,615 | 60,632 | 61,795 | 58,495 | ||||||||||||||||||
Amortization of Capitalized Interest | 91 | 150 | 891 | 750 | 587 | 441 | ||||||||||||||||||
Total | 70,872 | 36,870 | 77,572 | 93,594 | 79,080 | 69,052 | ||||||||||||||||||
Less: | ||||||||||||||||||||||||
Interest Capitalized | (983 | ) | (1,093 | ) | (470 | ) | (1,202 | ) | (795 | ) | (684 | ) | ||||||||||||
Earnings for Fixed Charge Calc. | $ | 69,889 | $ | 35,777 | $ | 77,102 | $ | 92,392 | $ | 78,285 | $ | 68,368 | ||||||||||||
FIXED CHARGES: | ||||||||||||||||||||||||
Interest Expensed | $ | 45,519 | $ | 41,209 | $ | 40,794 | $ | 42,622 | $ | 47,002 | $ | 45,994 | ||||||||||||
Interest Capitalized | 983 | 1,093 | 470 | 1,202 | 795 | 684 | ||||||||||||||||||
Amortized premiums, discounts & | ||||||||||||||||||||||||
capitalized expenses for debt | 6,130 | 6,400 | 6,982 | 7,321 | 4,511 | 3,981 | ||||||||||||||||||
Interest within Rental Expense (est.) | 6,370 | 8,975 | 9,369 | 9,487 | 9,488 | 7,836 | ||||||||||||||||||
Fixed Charges for Calc. | $ | 59,002 | $ | 57,677 | $ | 57,615 | $ | 60,632 | $ | 61,795 | $ | 58,495 | ||||||||||||
Ratio of Earnings to Fixed Charges | 1.2 | 0.6 | 1.3 | 1.5 | 1.3 | 1.2 | ||||||||||||||||||
Amount by which earnings are | ||||||||||||||||||||||||
inadequate to cover fixed charges | 0 | $ | (21,900 | ) | 0 | 0 | 0 | 0 |
(a) | Includes $6,136 of restructuring charges, $3,161 of acquisiiton related costs and $38,890 of costs related to the loss on debt extinguishment. |
(b) | Includes $5,900 of costs related to restructuring costs. |
(c) | Includes $9,617 of acquisition related costs, $5,700 of environmental and warranty reserves and $5,137 of contract settlement charges. |
(d) | Includes $7,597 of acquisition related costs, $3,220 special dividend ESOP charges, $1,205 secondary offering costs and $2,614 cost of life insurance benefits. |