Exhibit 12.1
RATIO OF EARNINGS TO FIXED CHARGES
The following table sets forth our ratio of earnings to fixed charges for
the years ended December 31, 1997, 1998, 1999, 2000, 2001 and the nine months
ended September 30, 2002. As earnings are inadequate to cover the combined fixed
charges, we have provided the deficiency amounts. For purposes of this
computation, "Earnings" consist of loss before income taxes, excluding the
cumulative effect of a change in accounting principle, plus fixed charges, and
"fixed charges" consist of interest and the amortization of debt issuance costs
and debt discount incurred and the portion of rental expense deemed by us to be
representative of the interest factor of rental payments under leases.
YEAR ENDED DECEMBER 31,
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NINE MONTHS
ENDED
SEPTEMBER 30,
2001 2000 1999 1998 1997 2002
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(IN THOUSANDS)
Net loss before cumulative
effect of a change in
accounting principle (A) $ (100,150) $ (117,886) $ (74,719) $ (59,277) $ (42,995) $ (25,868)
Interest expense on
indebtedness and
amortization of debt
issuance costs and debt
discount $ 8,088 $ 8,322 $ 12,979 $ 13,119 $ 13,601 $ 5,213
Portion of rent expense
representative of interest $ 2,112 $ 3,386 $ 3,514 $ 3,727 $ 3,466 $ 2,385
------------ ------------ ------------ ------------ ----------- ------------
Earnings $ (89,950) $ (106,178) $ (58,226) $ (42,431) $ (25,928) $ (18,270)
Interest expense on
indebtedness and
amortization of debt
issuance costs and debt
discount $ 8,088 $ 8,322 $ 12,979 $ 13,119 $ 13,601 $ 5,213
Portion of rent expense
representative of interest $ 2,112 $ 3,386 $ 3,514 $ 3,727 $ 3,466 $ 2,385
------------ ------------ ------------ ------------ ----------- ------------
Total fixed charges $ 10,200 $ 11,708 $ 16,493 $ 16,846 $ 17,067 $ 7,598
============ ============ ============ ============ =========== ============
Ratio of earnings to fixed
charges -- -- -- -- -- --
------------ ------------ ------------ ------------ ----------- ------------
Coverage deficiency $ (100,150) $ (117,886) $ (74,719) $ (59,277) $ (42,995) $ (25,868)
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(A) In December 1999, the Securities and Exchange Commission issued Staff
Accounting Bulletin ("SAB") No. 101, Revenue Recognition in Financial
Statements. We implemented SAB No. 101 in the fourth quarter of 2000 as a
change in accounting principle. The cumulative effect of this change to
December 31, 1999, which was recorded in 2000, was $13.1 million.