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EXHIBIT 12
FEDDERS CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
(DOLLAR AMOUNTS IN THOUSANDS)
PRO FORMA HISTORICAL
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QUARTER YEAR QUARTER
ENDED ENDED ENDED YEAR ENDED AUGUST 31,
NOV. 30, AUG. 31, NOV. 30, --------------------------------------
1995 1995 1995 1995 1994 1993 1992 1991(B)
-------- -------- -------- ------- ------- ------- -------- --------
Earnings:
Income (loss) from continuing
operations before taxes,
extraordinary items and
cumulative effect of
accounting changes............ $(1,072) $32,255 $ 554 $35,691 $19,803 $(2,340) $(24,965) $(13,666)
Add:
Portion of rent representative
of the interest factor...... 414 -- 414 426 426 426 426
Interest expense.............. 899 3,760 200 1,687 3,694 3,768 14,327 10,874
Amortization of debt
discount.................... 1,026 -- 1,026 631 640 1,246 909
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Income (loss) as adjusted....... $ (173) $37,455 $ 754 $38,818 $24,554 $ 2,494 $ (8,966) $ (1,457)
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Preferred dividend
requirements.................. $ 709 $ 2,836 -- -- -- -- -- --
Ratio of income before provision
for income taxes to net
income(a)..................... 161% 161% -- -- -- -- -- --
Preferred dividend factor on
pretax basis.................. 1,141 4,566 -- -- -- -- -- --
Fixed charges
Interest expense.............. 899 3,760 200 1,687 3,694 3,768 14,327 10,874
Amortization of debt
discount.................... 1,026 -- 1,026 631 640 1,246 909
Portion of rent representative
of the interest factor...... 414 -- 414 426 426 426 426
------- ------- ----- ------- ------- ------- -------- --------
Fixed charges and preferred
dividends................. $ 2,040 $ 9,766 $ 200 $ 3,127 $ 4,751 $ 4,834 $ 15,999 $ 12,209
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Ratio of earnings to fixed
charges....................... -- -- 3.77 12.41 5.17 -- -- --
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Deficiency of earnings versus
fixed charges................. -- -- -- -- -- $ 2,340 $ 24,965 $ 13,666
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Ratio of earnings to combined
fixed charges and preferred
stock dividends............... -- 3.84 -- -- -- -- -- --
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Deficiency of earnings versus
combined fixed charges and
preferred stock dividends..... $ 2,213 -- -- -- -- -- -- --
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(a) To reflect the Company's expected future effective tax rate exclusive of the
impact of prior years' net operating loss carry forwards.
(b) Information presented is for the eight months ended August 31, 1991.