EXHIBIT 12 ENCOMPASS SERVICES CORPORATION AND SUBSIDIARIES COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES (in thousands, except ratios) (Unaudited) Six months Years ended December 31, ended June 30, ------------------------------------- --------------- 1996 1997 1998 1999 2000 2000 2001 ---- ------ ------- -------- -------- ------- ------- Earnings available for fixed charges: Income before income tax provision.......... $428 $1,537 $83,583 $ 95,089 $123,098 $51,127 $44,400 Fixed Charges........... 395 321 3,587 39,651 102,346 46,193 50,773 ---- ------ ------- -------- -------- ------- ------- Total................. $823 $1,858 $87,170 $134,740 $225,444 $97,320 $95,173 ==== ====== ======= ======== ======== ======= ======= Fixed Charges: Interest expense (a).... $224 $ 208 $ 1,054 $ 35,618 $ 88,101 $39,686 $42,555 Interest portion of rent expense (b)....... 171 113 2,533 4,033 14,245 6,507 8,218 ---- ------ ------- -------- -------- ------- ------- Total................. $395 $ 321 $ 3,587 $ 39,651 $102,346 $46,193 $50,773 ==== ====== ======= ======== ======== ======= ======= Ratio of earnings to fixed charges........... 2.08 5.79 24.30 3.40 2.20 2.11 1.87 - -------- (a) Includes amortization of deferred debt issue costs and original issue discount. (b) Interest portion of rent expense is estimated at one third of rent expense.