EXHIBIT 12.1
AKI HOLDING CORP. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(dollars in thousands)
PREDECESSOR
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PRO FORMA
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FISCAL YEAR ENDED THREE MONTHS THREE MONTHS JULY 1,
JUNE 30, ENDED ENDED 1997 TO
----------------------- SEPTEMBER 30, SEPTEMBER 30, DECEMBER 15,
1996 1997 1997 1997 1997
----------- ----------- --------------- --------------- --------------
Income (loss)
before income
taxes ................ $ 4,279 $ 7,117 $ 3,083 $ (53) $ 3,234
Add:
Interest on all
indebtedness
which includes
amortization of
deferred financing
costs ................ 6,762 6,203 1,451 4,169 2,646
-------- -------- -------- ------ --------
Earnings available
for fixed charges..... 11,041 13,320 4,534 4,169 5,880
Fixed charges ......... 6,762 6,203 1,451 4,169 2,646
-------- -------- -------- ------ --------
Ratio of earnings
to fixed
charges ............. 1.6x 2.1x 3.1x -- 2.2x
HOLDING
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PRO FORMA
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DECEMBER 16, FISCAL YEAR THREE MONTHS
1997 TO ENDED ENDED
JUNE 30, JUNE 30, SEPTEMBER 30,
1998 1998 1998
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Income (loss)
before income
taxes ................ $ (7,545) $ (7,775) $ 315
Add:
Interest on all
indebtedness
which includes
amortization of
deferred financing
costs ................ 11,327 16,730 4,096
--------- --------- --------
Earnings available
for fixed charges..... 3,782 8,955 4,411
Fixed charges ......... 11,327 16,730 4,096
--------- --------- --------
Ratio of earnings
to fixed
charges ............. -- -- 1.1x
In accordance with Regulation S-K, the calculation of the ratio of earnings to
fixed charges for the pro forma three months ended September 30, 1997 and the
pro forma fiscal year ended June 30, 1998 includes the effects of the
Acquisition and the Refinancing, but does not include the effects of the 3M
Acquisition. Earnings were not sufficient to cover fixed charges by $53, $7,545
and $7,775 for the pro forma three months ended September 30, 1997, the period
from December 16, 1997 to June 30, 1998 and the pro forma fiscal year ended
June 30, 1998, respectively.