EXHIBIT 12.2
IKON OFFICE SOLUTIONS, INC. AND SUBSIDIARIES
RATIO OF EARNINGS TO FIXED CHARGES (EXCLUDING CAPTIVE FINANCE SUBSIDIARIES)
(dollars in thousands)
Fiscal Year Ended September 30
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1998 1997 1996 1995 1994
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Earnings
Income (loss) from continuing
operations $ (140,552) $ 85,897 $ 140,656 $ 100,539 $ (11,351)
Add:
Loss from unconsolidated affiliate 117,158
Provision for income taxes (33,291) 65,931 85,512 63,938 32,904
Fixed charges 98,544 92,738 59,514 42,138 32,389
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Earnings, as adjusted (A) $ (75,299) $ 244,566 $ 285,682 $ 206,615 $ 171,100
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Fixed charges
Other interest expense, including
interest on capital leas $ 70,668 $ 47,453 $ 37,179 $ 21,672 $ 16,118
Estimated interest component of
rental expense 27,876 26,584 22,335 20,466 16,271
Prepayment penalties on early
extinguishment of debt 18,701
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Total fixed charges (B) $ 98,544 $ 92,738 $ 59,514 $ 42,138 $ 32,389
========== ========= ========= ========= =========
Ratio of earnings to fixed charges
(A) divided by (B) (0.8)(1) 2.6(2) 4.8(3) 4.9 5.3
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(1) Excluding the effect of transformation costs and the loss from asset impairment, the ratio of earnings to fixed charges
(excluding finance subsidiaries) for the fiscal year ended September 30, 1998 is .2.
(2) Excluding the effects of the transformation costs, the ratio of earnings to fixed charges (excluding finance subsidiaries)
for the fiscal year ended September 30, 1997 is 4.0.
(3) Excluding the effects of the transformation costs, the ratio of earnings to fixed charges (excluding finance subsidiaries)
for the fiscal year ended September 30, 1996 is 5.2.