1
EXHIBIT 12.1
COSTILLA ENERGY, INC.
ADJUSTED EBITDA/INTEREST EXPENSE
(IN THOUSANDS)
YEARS ENDED DECEMBER 31,
---------------------------------------------------------------
1997 1996 1995 1994 1993
-------- -------- -------- -------- --------
Net income (loss) $(36,471) $ (4,440) $ (4,970) $ 163 $ 73
Interest expense 12,979 11,281 4,591 1,458 605
Income taxes 152 1,218 3 40 (23)
Exploration and abandonment 6,588 2,550 1,652 793 218
Depreciation, depletion and amortization 26,409 12,430 5,958 1,847 884
Impairment of oil and gas properties 28,189 -- -- -- --
Gain from sale of substantially all the assets
of wholly-owned subsidiary -- (906) -- -- --
Extraordinary loss resulting from early
extinguishment of debt, net of the related
deferred tax benefit of $129 and $1,042 219 4,975 -- -- --
-------- -------- -------- -------- --------
ADJUSTED EBITDA $ 38,065 $ 27,108 $ 7,234 $ 4,301 $ 1,757
======== ======== ======== ======== ========
Interest expense per consolidated financial statements $ 12,979 $ 11,281 $ 4,591 $ 1,458 $ 605
Less: amortization deferred charges (518) (1,028) -- -- --
-------- -------- -------- -------- --------
Interest expense - net of deferred charges amortization $ 12,461 $ 10,253 $ 4,591 $ 1,458 $ 605
======== ======== ======== ======== ========
ADJUSTED EBITDA/Interest expense - net of
deferred charges amortization 3.1x 2.6x 1.6x 2.9x 2.9x
======== ======== ======== ======== ========