EXHIBIT 12.1
IKON OFFICE SOLUTIONS, INC. AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES
(dollars in thousands)
Fiscal Year Ended September 30
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1999 1998 1997 1996 1995
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Earnings
Income (loss) from continuing operations $ 33,836 $ (83,050) $ 122,362 $ 164,893 $ 115,011
Add:
Provision for Income taxes 45,555 8,863 90,751 107,984 75,501
Fixed charges 230,375 228,365 192,021 127,970 82,672
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Earnings, as adjusted (A) $ 309,766 $ 154,178 $ 405,134 $ 400,847 $ 273,184
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Fixed charges
Other Interest expense, Including
Interest on capital leases $ 197,901 $ 199,816 $ 146,117 $ 105,222 $ 61,888
Estimated Interest component of
rental expense 32,474 28,549 27,203 22,748 20,784
Prepayment penalties on early
extinguishment of debt 18,701
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Total fixed charges (B) $ 230,375 $ 228,365 $ 192,021 $ 127,970 $ 82,672
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Ratio of earnings to fixed charges
(A) divided by (B) 1.3(1) 0.7 (2) 2.1 (3) 3.1 (4) 3.3
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(1) Excluding the effect of the asset securitization gain and the shareholder
litigation settlement charge, the ratio of earnings to fixed charges for the
fiscal year ended September 30, 1999 is 1.7.
(2) Excluding the effect of transformation costs and the loss from asset
Impairment, the ratio of earnings to fixed charges for the fiscal year ended
September 30, 1998 is 1.1.
(3) Excluding the effect of transformation costs, the ratio of earnings to fixed
charges for the fiscal year ended September 30, 1997 is 2.8.
(4) Excluding the effect of transformation costs, the ratio of earnings to fixed
charges for the fiscal year ended September 30, 1996 is 3.3.