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EXHIBIT 12 (I)
FEDDERS CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
(DOLLAR AMOUNTS IN THOUSANDS)
PRO FORMA HISTORICAL
--------------------- --------------------------------------------------------------
SIX MONTHS YEAR SIX MONTHS
ENDED ENDED ENDED YEAR ENDED AUGUST 31,
FEB. 29, AUG. 31, FEB. 29, --------------------------------------
1996 1995 1996 1995 1994 1993 1992 1991(B)
---------- -------- ---------- ------- ------- ------- -------- --------
Earnings:
Income (loss) from
continuing operations
before taxes,
extraordinary items and
cumulative effect of
accounting changes....... $6,882 $ 32,168 $ 10,828 $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......... 2,183 3,760 944 1,687 3,694 3,768 14,327 10,874
Amortization of debt
discount............... 1,026 -- 1,026 631 640 1,246 909
------ ------ ----- ------ ------ ------ ------- -------
Income (loss) as
adjusted................. $9,065 $ 37,368 $ 11,772 $38,818 $24,554 $ 2,494 $ (8,966) $ (1,457)
====== ====== ===== ====== ====== ====== ======= =======
Preferred dividend
requirements............. $ 591 $ 1,182 -- -- -- -- -- --
Ratio of income before
provision for income
taxes to net income(a)... 161% 161% -- -- -- -- -- --
Preferred dividend factor
on pretax basis.......... 952 1,903 -- -- -- -- -- --
Fixed charges
Interest expense......... 2,183 3,760 944 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............ $3,135 $ 7,103 $ 944 $ 3,127 $ 4,751 $ 4,834 $ 15,999 $ 12,209
====== ====== ===== ====== ====== ====== ======= =======
Ratio of earnings to fixed
charges.................. -- -- 12.47 12.41 5.17 -- -- --
====== ====== ===== ====== ====== ====== ======= =======
Deficiency of earnings
versus fixed charges..... -- -- -- -- -- $ 2,340 $ 24,965 $ 13,666
====== ====== ===== ====== ====== ====== ======= =======
Ratio of earnings to
combined fixed charges
and preferred stock
dividends................ 2.89 5.26 -- -- -- -- -- --
====== ====== ===== ====== ====== ====== ======= =======
Deficiency of earnings
versus combined fixed
charges and preferred
stock dividends.......... $ -- -- -- -- -- -- -- --
====== ====== ===== ====== ====== ====== ======= =======
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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.