EXHIBIT 12.1
JOY GLOBAL INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
IN MILLIONS
Predecessor
Company
Predecessor Company Eight
----------------------------------- Months
1997 1998 1999 2000 2001
----- ---- ----- ---- -----------
Income (loss) from continuing operations before
provision (benefit) for income taxes and minority interest
per Statement of Income 106.5 (9.2) (131.7) (31.3) 25.0
Add:
Dividends received from Asea AB 0.5 - - - -
Portion of rents representative of the
interest factor 5.7 5.1 6.3 4.5 3.8
Interest on indebtedness, including amortization
of debt expense and premium 71.8 74.4 31.2 28.4 29.3
Amortization of debtor-in-posession debt expense
(included in reorganization costs) - - 3.1 10.6 4.1
Subtract:
Equity income recorded on investment
in Asea AB 0.1 (0.1) (0.2) 0.2 -
----- ---- ----- ---- -----------
Earnings (loss) 184.4 70.4 (90.9) 12.0 62.2
Interest on indebtedness, including amortization
of debt expense and premium 71.8 74.4 31.2 28.4 29.3
Amortization of debtor-in-posession debt expense
(included in reorganization costs) - - 3.1 10.6 4.1
Dividends paid on preferred stock - - - - -
Pre-tax earnings necessary to pay preferred stock
dividends - - - - -
Rents
Consolidated rent expense 17.0 15.3 18.8 13.4 11.3
Portion of rents representative
of the interest factor (1/3) 5.7 5.1 6.3 4.5 3.8
----- ---- ----- ---- -----------
Fixed charges 77.5 79.5 40.6 43.5 37.2
Ratio of earnings to fixed charges 2.4 - - - 1.7
Additional Earnings needed to cover fixed charges - 9.1 131.5 31.5 -
Successor
Company
Four Pro Forma
Months Pro Forma 2001 First 2002 First 2002 First
2001 2001 Quarter Quarter Quarter
--------- --------- ---------- ---------- ----------
Income (loss) from continuing operations before
provision (benefit) for income taxes and minority interest
per Statement of Income (62.1) (32.6) (3.1) (47.2) (46.9)
Add:
Dividends received from Asea AB - - - - -
Portion of rents representative of the
interest factor 1.9 5.6 1.4 1.2 1.2
Interest on indebtedness, including amortization
of debt expense and premium 11.0 29.6 4.3 8.0 7.7
Amortization of debtor-in-posession debt expense
(included in reorganization costs)
Subtract:
Equity income recorded on investment
in Asea AB - - - - -
--------- --------- ---------- ---------- ----------
Earnings (loss) (49.2) 2.6 2.6 (38.0) (38.0)
Interest on indebtedness, including amortization
of debt expense and premium 11.0 29.6 4.3 8.0 7.7
Amortization of debtor-in-posession debt expense
(included in reorganization costs) - - - - -
Dividends paid on preferred stock - - - - -
Pre-tax earnings necessary to pay preferred stock
dividends - - - - -
Rents
Consolidated rent expense 5.6 16.9 4.2 3.7 3.7
Portion of rents representative
of the interest factor (1/3) 1.9 5.6 1.4 1.2 1.2
--------- --------- ---------- ---------- ----------
Fixed charges 12.9 35.2 5.7 9.2 8.9
Ratio of earnings to fixed charges - - - - -
Additional Earnings needed to cover fixed charges 62.1 32.6 3.1 47.2 46.9