Exhibit 12.1
Boyd Gaming Corporation
Computation of Ratio of Earnings to Fixed Charges
($ in thousands, except for ratios)
(unaudited)
Nine Months Ended | Six Months Ended December 31, 1997 | Fiscal Year Ended June 30, 1997 | |||||||||||||||||||||||
September 30, | Year Ended December 31, | ||||||||||||||||||||||||
2002 | 2001 | 2001 | 2000 | 1999 | 1998 | ||||||||||||||||||||
Earnings Calculation: | |||||||||||||||||||||||||
Income (loss) before provision (benefit) for income taxes and cumulative effects of changes in accounting principles | $ | 70,806 | $ | 31,226 | $ | 41,932 | $ | 102,057 | $ | 67,634 | $ | 49,891 | $ | 9,697 | $ | (114,785 | ) | ||||||||
Add: | |||||||||||||||||||||||||
Interest expense |
| 55,427 |
| 58,399 |
| 75,374 |
| 79,303 |
| 69,230 |
| 74,162 |
| 37,571 |
| 61,672 |
| ||||||||
Loss on early retirement of debt |
| 3,443 |
| — |
| — |
| — |
| — |
| — |
| 11,139 |
| 9,337 |
| ||||||||
Interest component of rent expense |
| 1,955 |
| 1,693 |
| 2,262 |
| 1,767 |
| 1,470 |
| 1,065 |
| 595 |
| 1,072 |
| ||||||||
Earnings available for fixed charges | $ | 131,631 | $ | 91,318 | $ | 119,568 | $ | 183,127 | $ | 138,334 | $ | 125,118 | $ | 59,002 | $ | (42,704 | ) | ||||||||
Fixed charges: | |||||||||||||||||||||||||
Interest expense | $ | 55,427 | $ | 58,399 | $ | 75,374 | $ | 79,303 | $ | 69,230 | $ | 74,162 | $ | 37,571 | $ | 61,672 |
| ||||||||
Capitalized interest |
| 13,423 |
| 12,026 |
| 18,009 |
| 6,253 |
| 1,786 |
| — |
| — |
| 3,200 |
| ||||||||
Interest component of rent expense |
| 1,955 |
| 1,693 |
| 2,262 |
| 1,767 |
| 1,470 |
| 1,065 |
| 595 |
| 1,072 |
| ||||||||
Total fixed charges | $ | 70,805 | $ | 72,118 | $ | 95,645 | $ | 87,323 | $ | 72,486 | $ | 75,227 | $ | 38,166 | $ | 65,944 |
| ||||||||
Ratio of earnings to fixed charges |
| 1.9x |
| 1.3x |
| 1.3x |
| 2.1x |
| 1.9x |
| 1.7x |
| 1.6x |
| (0.6 | )x | ||||||||
Deficit | $ | (108,648 | ) | ||||||||||||||||||||||