EXHIBIT 12.1
INTERNATIONAL CONTROLS CORP. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(DOLLARS IN THOUSANDS)
3 MONTHS
ENDED
YEAR ENDED DECEMBER 31, MARCH 31,
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1989 1990 1991 1992 1993 1993 1994
--------- ---------- ---------- --------- --------- --------- ---------
Income (Loss) from Operations Before
Minority Equity, Income Taxes,
Extraordinary Items and Accounting
Changes............................... $ 1,178 $ (24,407) $ (34,178) $ (6,868) $ 9,121 $ 1,860 $ 11,611
Add:
Interest expense...................... 57,879 61,596 47,425 42,726 41,614 10,465 10,044
Portion of rents representative of
interest factor (1).................. 1,300 1,200 1,200 1,267 1,600 400 467
--------- ---------- ---------- --------- --------- --------- ---------
Income As Adjusted...................... $ 60,357 $ 38,389 $ 14,447 $ 37,125 $ 52,335 12,725 $ 22,122
--------- ---------- ---------- --------- --------- --------- ---------
--------- ---------- ---------- --------- --------- --------- ---------
Fixed Charges:
Interest expense...................... $ 57,879 $ 61,596 $ 47,425 $ 42,726 $ 41,614 $ 10,465 $ 10,044
Portion of rent representative of
interest factor (1)................... 1,300 1,200 1,200 1,267 1,600 400 467
--------- ---------- ---------- --------- --------- --------- ---------
Fixed Charges........................... $ 59,179 $ 62,796 $ 48,625 $ 43,993 $ 43,214 10,865 $ 10,511
--------- ---------- ---------- --------- --------- --------- ---------
--------- ---------- ---------- --------- --------- --------- ---------
Ratio of Earnings to Fixed Charges...... 1.0x 0.6x 0.3x 0.8x 1.2x 1.2x 2.1x
<FN>
- --------------
(1) That portion of operating lease rental expense which is representative of
the interest factor (deemed by management to be one-third of rental
expense).
EXHIBIT 12.1 -- (CONTINUED)
INTERNATIONAL CONTROLS CORP. AND SUBSIDIARIES
COMPUTATION OF PRO FORMA RATIO OF EBITDA TO CASH INTEREST EXPENSE
(DOLLARS IN THOUSANDS)
The following computations for the year ended December 31, 1993, and three
months ended March 31, 1994, reflect, on a pro forma basis, EBITDA, cash
interest expense and the resultant ratios. The computations give effect to the
refinancing of certain indebtedness as identified herein.
YEAR ENDED
DECEMBER 31, THREE MONTHS ENDED
1993 MARCH 31, 1994
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Income (Loss) from Operations Before Minority Equity, Income Taxes,
Extraordinary Items and Accounting Changes............................... $ 2,747 $ 10,066
Add:
Interest expense......................................................... 44,568 10,621
Depreciation and amortization............................................ 23,295 5,631
Amortization or cost in excess of net assets acquired.................... 1,250 313
Other amortization....................................................... 3,878 971
Special charge 7,500 --
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EBITDA..................................................................... $ 83,238 $ 27,602
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Cash Interest Expense:
Interest expense......................................................... $ 44,568 $ 10,621
Less cash interest incurred during the call period for the 12 3/4%
Debentures and the 14 1/2% Debentures................................... (1,261)
Less noncash interest:
Other.................................................................. (294) (74)
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Cash Interest Expense...................................................... $ 43,013 $ 10,547
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Pro Forma Ratio of EBITDA to Cash Interest Expense......................... 1.9x 2.6x
EXHIBIT 12.1 -- (CONTINUED)
INTERNATIONAL CONTROLS CORP. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EBITDA TO CASH INTEREST EXPENSE
(DOLLARS IN THOUSANDS)
3 MONTHS
ENDED
YEAR ENDED DECEMBER 31, MARCH 31,
------------------------------------------------------- --------------------
1989 1990 1991 1992 1993 1993 1994
--------- ---------- ---------- --------- --------- --------- ---------
Income (Loss) from Operations Before
Minority Equity, Income Taxes,
Extraordinary Items and Accounting
Changes............................... $ 1,178 $ (24,407) $ (34,178) $ (6,868) $ 9,121 $ 1,860 $ 11,611
Add:
Interest expense...................... 57,879 61,596 47,425 42,726 41,614 10,465 10,044
Depreciation and amortization......... 18,186 20,784 20,931 21,054 23,295 5,571 5,631
Amortization of cost in excess of net
assets acquired...................... 1,252 1,250 1,250 1,250 1,250 312 313
Other amortization.................... 1,705 2,717 2,876 2,727 1,878 467 471
Special Charge........................ -- -- -- -- 7,500 -- --
--------- ---------- ---------- --------- --------- --------- ---------
EBITDA.................................. $ 80,200 $ 61,940 $ 38,304 $ 60,889 $ 84,658 $ 18,675 $ 28,070
--------- ---------- ---------- --------- --------- --------- ---------
--------- ---------- ---------- --------- --------- --------- ---------
Cash Interest Expense:
Interest expense...................... $ 57,879 $ 61,596 $ 47,425 $ 42,726 $ 41,614 $ 10,465 $ 10,044
Less noncash interest:
Amortization of debt discount....... (26,638) (24,690) (1,045) (1,181) (1,372) (324) (393)
Amortization of debt expense........ (368) (350) (299) (294) (294) (73) (74)
--------- ---------- ---------- --------- --------- --------- ---------
Cash Interest Expense................... $ 30,873 $ 36,556 $ 46,081 $ 41,251 $ 39,948 $ 10,068 $ 9,577
--------- ---------- ---------- --------- --------- --------- ---------
--------- ---------- ---------- --------- --------- --------- ---------
Ratio of EBITDA to Cash Interest
Expense............................... 2.6x 1.7x 0.8x 1.5x 2.1x 1.9x 2.9x
EXHIBIT 12.1 -- (CONTINUED)
INTERNATIONAL CONTROLS CORP. AND SUBSIDIARIES
COMPUTATION OF PRO FORMA RATIO OF EARNINGS TO FIXED CHARGES
(DOLLARS IN THOUSANDS)
The following computations for the year ended December 31, 1993, and three
months ended March 31, 1994, reflect, on a pro forma basis, earnings available
for fixed charges, fixed charges and resultant ratios. The computations give
effect to the refinancing identified in the document.
YEAR ENDED
DECEMBER 31, THREE MONTHS ENDED
1993 MARCH 31, 1994
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Income (Loss) from Operations Before Minority Equity, Income Taxes,
Extraordinary Items and Accounting Changes............................... $ 2,165 $ 10,618
Add:
Interest expenses........................................................ 46,568 10,537
Annual amortization of debt expenses arising from the offering........... 2,000 500
Portion of rents representative of interest factor (1)................... 1,600 467
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Income As Adjusted......................................................... $ 52,333 $ 22,122
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Fixed Charges:
Interest expense......................................................... 46,568 $ 10,537
Annual amortization of debt expenses arising from the offering........... 2,000 500
Portion of rent representative of interest factor (1).................... 1,600 467
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Fixed Charges.............................................................. $ 50,168 $ 11,504
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Pro Forma Ratio of Earnings to Fixed Charges............................... 1.0x 1.9x
<FN>
- --------------
(1) That portion of operating lease rental expense which is representative of
the interest factor (deemed by management to be one-third of rental
expense).