1
Exhibit 12
ENTEX INFORMATION SERVICES, INC.
COMPUTATION OF RATION OF EARNINGS TO FIXED CHARGES(1)
(Unaudited)
THREE
MONTHS YEARS ENDED
ENDED -----------------------------------------------------
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SEPTEMBER 27, JUNE 28, JUNE 29, JUNE 30, JULY 2, JULY 3,
1998 1998 1997 1996 1995 1994
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(DOLLARS IN THOUSANDS)
Income (loss) before income taxes $(13,792) $18,560 $ 1,569 $(25,648) $(29,763) $(5,546)
Fixed Charges
Interest expense, net 9,695 36,663 37,147 29,726 23,151 17,444
Interest component of rent expense 1,208 4,361 3,969 3,137 1,687 1,975
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Fixed charges $10,903 $41,024 $41,116 $32,863 $24,838 $19,419
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Earnings $(2,889) $59,584 $42,685 $ 7,215 $(4,925) $13,873
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Ratio of earnings to fixed charges (0.26)x 1.45x 1.04x 0.22x (0.20)x 0.71x
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(1) For purposes of computing the ratio of earnings to fixed charges, fixed
charges consist of interest (including the interest component of rental
expenses) and amortization of debt expense. Earnings consist of earnings
from continuing operations before taxes, plus fixed charges. For the three
months ended September 27, 1998, earnings were insufficient to cover fixed
charges by $13.8 million. For the fiscal years ended June 30, 1996, July 2,
1995 and July 3, 1994, earnings were insufficient to cover fixed charges by
$25.6 million, $29.8 million and $5.5 million, respectively.