EXHIBIT 12.1
NPS PHARMACEUTICALS, INC.
COMPUTATION OF RATIO OF EARNINGS AVAILABLE
TO COVER FIXED CHARGES
(in thousands)
| Fiscal Year Ended December 31, | ||||||||||||||||||||
| 1999 | 2000 | 2001 | 2002 | 2003 | ||||||||||||||||
Earnings (Loss) | ||||||||||||||||||||
Pre-tax loss before adjustments for income from equity investees and cumulative effect on prior years of change in accounting principle | $ | (35,654 | ) | $ | (31,612 | ) | $ | (51,329 | ) | $ | (87,127 | ) | $ | (172,925 | ) | |||||
Total fixed charges | 302 | 463 | 399 | 381 | 4,134 | |||||||||||||||
Distributed income of equity investees | — | — | 1,661 | 193 | — | |||||||||||||||
Total losses before fixed charges | $ | (35,352 | ) | $ | (31,149 | ) | $ | (49,269 | ) | $ | (86,553 | ) | $ | (168,791 | ) | |||||
Fixed Charges | ||||||||||||||||||||
Interest expense | $ | 4 | $ | 96 | $ | 5 | — | $ | 3,718 | |||||||||||
Assumed interest attributable to rentals | 298 | 367 | 394 | 381 | 416 | |||||||||||||||
Total fixed charges | $ | 302 | $ | 463 | $ | 399 | $ | 381 | $ | 4,134 | ||||||||||
Deficiency of earnings available to cover fixed charges | $ | (35,654 | ) | $ | (31,612 | ) | $ | (49,668 | ) | $ | (86,934 | ) | $ | (172,925 | ) | |||||
Ratio of earnings available to cover fixed charges | — | — | — | — | — | |||||||||||||||
For the years ended December 31, 1999, 2000, 2001, 2002 and 2003, our earnings were insufficient to cover fixed charges for those periods by $35,654, $31,612, $49,668, $86,934 and $172,925, respectively. In calculating the ratio of earnings available to cover fixed charges, “earnings” consist of pre-tax income (loss) before adjustments for income from equity investees, plus fixed charges and distributed income from equity investees. Fixed charges consist of interest expense and estimated interest included in rental expense.
