EXHIBIT 12.1
PARACELSUS HEALTHCARE CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(IN THOUSANDS, EXCEPT RATIO AND UNAUDITED)
FOR THE FISCAL YEAR ENDED SEPTEMBER 30,
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HISTORICAL PRO FORMA(1) PRO FORMA(2) PRO FORMA(3)
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1991 1992 1993 1994 1995 1995 1995 1995
Income (loss) before
minority interests, income
taxes, cumulative effect
of accounting change and
extraordinary loss........ $ 20,588 $ 20,779 $ 25,341 $ 23,387 $ 23,938 $ 14,745 $ 12,239 $ 12,778
Interest expense -- debt
borrowings and capitalized
leases.................... 12,043 10,496 10,213 12,966 15,746 36,803 38,434 37,895
Amortization of financing
costs................... -- -- -- -- -- -- 875 875
Interest portion of rental
expense................... 2,751 3,109 3,970 5,892 6,411 8,338 8,338 8,338
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Earnings (loss)........ $ 35,382 $ 34,384 $ 39,524 $ 42,245 $ 46,095 $ 59,886 $ 59,886 $ 59,886
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Fixed charges:
Interest................. $ 12,043 $ 10,496 $ 10,213 $ 12,966 $ 15,746 $ 36,803 $ 38,434 $ 37,895
Amortization of financing
costs................... -- -- -- -- -- -- 875 875
Interest portion of
rental expense.......... 2,751 3,109 3,970 5,892 6,411 8,338 8,338 8,338
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Total fixed charges.... $ 14,794 $ 13,605 $ 14,183 $ 18,858 $ 22,157 $ 45,141 $ 47,647 $ 47,108
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Ratio of earnings to
fixed charges....... 2.4 x 2.5 x 2.8 x 2.2 x 2.1 x 1.3 x 1.3 x 1.3 x
SIX MONTHS ENDED MARCH 31,
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HISTORICAL PRO FORMA(1) PRO FORMA(2) PRO FORMA(3) PRO FORMA(1) PRO FORMA(2)
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1995 1996 1995 1995 1995 1996 1996
Income (loss) before
minority interests, income
taxes, cumulative effect
of accounting change and
extraordinary loss........ $ 11,832 ($ 11,219) $ 9,136 $ 6,534 $ 6,534 $( 9,375) $( 11,191)
Interest expense -- debt
borrowings and capitalized
leases.................... 7,652 7,685 17,099 19,263 19,263 19,686 21,064
Amortization of financing
costs................... -- -- -- 438 438 -- 438
Interest portion of rental
expense................... 3,181 3,195 4,162 4,102 4,102 4,162 4,162
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Earnings (loss)........ $ 22,665 ($339) $ 30,397 $ 30,337 $ 30,337 $ 14,473 $ 14,473
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Fixed charges:
Interest................. $ 7,652 $ 7,685 $ 17,099 $ 19,263 $ 19,263 $ 19,686 $ 21,064
Amortization of financing
costs................... -- -- -- 438 438 -- 438
Interest portion of
rental expense.......... 3,181 3,195 4,162 4,102 4,102 4,162 4,162
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Total fixed charges.... $ 10,833 $ 10,880 $ 21,261 $ 23,803 $ 23,803 $ 23,848 $ 25,664
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Ratio of earnings to
fixed charges....... 2.1 x -- 1.4 x 1.3 x 1.3 x -- --
PRO FORMA(3)
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1996
Income (loss) before
minority interests, income
taxes, cumulative effect
of accounting change and
extraordinary loss........ $( 9,346)
Interest expense -- debt
borrowings and capitalized
leases.................... 19,219
Amortization of financing
costs................... 438
Interest portion of rental
expense................... 4,162
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Earnings (loss)........ $ 14,473
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Fixed charges:
Interest................. $ 19,219
Amortization of financing
costs................... 438
Interest portion of
rental expense.......... 4,162
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Total fixed charges.... $ 23,819
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Ratio of earnings to
fixed charges....... --
(1) Adjusted to give pro forma effect to the Merger.
(2) Adjusted to give pro forma effect to the Merger and the Notes Offering.
(3) Adjusted to give pro forma effect to the Merger and the Offerings.