EXHIBIT 12.1
THE WET SEAL, INC.
COMPUTATION OF RATION OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS
(AMOUNTS IN THOUSANDS, EXCEPT RATIOS AND WHERE NOTED)
| January 28, 2006 | January 29, 2005 | January 31, 2004 | February 1, 2003 | February 2, 2002 | ||||||||||||||
EARNINGS: | ||||||||||||||||||
(Loss) income from continuing operations before income taxes | $ | (29,032 | ) | $ | (164,080 | ) | $ | (61,287 | ) | $ | 10,309 | $ | 51,150 | |||||
Fixed charges | 54,618 | 24,524 | 22,583 | 21,287 | 20,790 | |||||||||||||
Accretion of non-cash dividends on convertible preferred stock | (23,317 | ) | ||||||||||||||||
Total earnings | $ | 2,269 | $ | (139,556 | ) | $ | (38,704 | ) | $ | 31,596 | $ | 71,940 | ||||||
FIXED CHARGES: | ||||||||||||||||||
Interest expense and amortization of deferred financing costs | $ | 15,030 | $ | 2,663 | $ | — | $ | — | $ | — | ||||||||
Estimated interest expense included in minimum gross rent (4) | 16,271 | 21,861 | 22,583 | 21,287 | 20,790 | |||||||||||||
Accretion of non-cash dividends on convertible preferred stock | 23,317 | |||||||||||||||||
Total fixed charges | $ | 54,618 | $ | 24,524 | $ | 22,583 | $ | 21,287 | $ | 20,790 | ||||||||
RATIO OF EARNINGS TO FIXED CHARGES | — | (1) | — | (2) | — | (3) | 1.48 | 3.46 | ||||||||||
| (1) | Earnings were insufficient to cover fixed charges by $29.0 million. |
| (2) | Earnings were insufficient to cover fixed charges by $164.1 million. |
| (3) | Earnings were insufficient to cover fixed charges by $61.3 million. |
| (4) | Interest component is estimated to be one-third of minimum gross rent. |
