EXHIBIT 12
Forman Petroleum Corporation
Computation of the Ratio of Earnings
to Combined Fixed Charges and Preferred Stock Dividends
Year Ended December 31, Period Ended March 31,
------------------------------------------------------------ ------------------------------------
Pro forma
Pro forma ----------
1994 1995 1996 1996(1) 1996 1997 1997(1)
---------- ----------- ----------- ----------- ---------- ---------- ----------
Pre tax income (loss) $ 457,438 $(3,552,645) $(1,774,549) $(1,546,549) $ (838,721) $ (63,489) $ 55,397
Add:
Interest Expense 2,121,115 3,522,285 3,982,797 4,333,797 900,818 1,184,243 1,271,993
Amortization of Debt Costs 314,493 304,260 565,643 565,643 90,516 230,475 230,475
Rental Expense Factor (2) 26,316 48,212 48,158 48,158 12,040 12,753 12,753
Earnings available for
fixed charges
$2,919,362 $ 322,112 $ 2,822,049 $ 3,401,049 $ 164,653 $1,363,982 $1,570,618
========== =========== =========== =========== ========== ========== ==========
Interest Expense 2,121,115 3,522,285 3,982,797 4,333,797 900,818 1,184,243 1,271,993
Amortization of Debt Costs 314,493 304,260 565,643 565,643 90,516 230,475 230,475
Rental Expense Factor (2) 26,316 48,212 48,158 48,158 12,040 12,753 12,753
Preferred Stock Dividends (3) - - - - - - -
---------- ----------- ----------- ----------- ---------- ---------- ----------
Total Fixed Charges $2,461,924 $ 3,874,757 $ 4,596,598 $ 4,947,598 $1,003,374 $1,427,471 $1,515,221
========== =========== =========== =========== ========== ========== ==========
Ratio of earnings to
fixed charges
1.19X 1.04X
========== ==========
Deficiency of earnings
to cover fixed charges $ 3,552,645 $ 1,774,549 $ 1,546,549 $ 838,721 $ 63,489
=========== =========== =========== ========== ==========
(1) The pro forma 1996 and 1997 columns reflect adjustments to pre tax income
(loss) for the incremental revenue and expense that would have been reported
had the acquisition of certain overriding royalty interests occurred on the
last day of the period prior to the period presented. As adjusted for the
issuance of the Notes and Equity Units, earnings would not have covered
fixed charges by $8,816,000 and $1,484,000, respectively for the pro forma
1996 and 1997 periods.
(2) Portion of rent which is deemed to be representative of interest.
(3) There was no preferred stock outstanding during any of the historical
periods presented.