EXHIBIT 12.2
DECRANE HOLDINGS CO. AND SUBSIDIARY
EARNINGS TO FIXED CHARGES RATIO
(DOLLARS IN THOUSANDS)
HISTORICAL:
INCEPTION
TO INCEPTION TO
AUGUST 27, SEPTEMBER 30,
1998(1) 1998
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Earnings:
Loss before income taxes, accounting change
and extraordinary item.............................................................. $ -- $ (990)
Minority interest in income of subsidiaries with fixed charges........................ -- 6
Fixed charges......................................................................... -- 2,562
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$ -- $ 1,578
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Fixed charges:
Interest expense, including amortization of debt discounts
and issuance costs (none capitalized)............................................... $ -- $ 1,769
Interest component of rentals(2)...................................................... -- 66
Preferred stock dividends............................................................. -- 727
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$ -- $ 2,562
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Earnings to fixed charges ratio:
Ratio............................................................................... $ -- $ --
Deficiency.......................................................................... $ -- $ 984
PRO FORMA:
NINE MONTHS TWELVE MONTHS
YEAR ENDED ENDED ENDED
DECEMBER 31, SEPTEMBER 30, SEPTEMBER 30,
1997 1998 1998
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Earnings:
Income (loss) before income taxes, accounting change
and extraordinary item............................................ $ (13,325) $ 54 $ (1,472)
Minority interest in income of subsidiaries
with fixed charges................................................ 112 54 85
Fixed charges....................................................... 29,781 22,196 29,679
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$ 16,568 $ 22,304 $ 28,292
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Fixed charges:
Interest expense, including amortization of debt discounts
and issuance costs (none capitalized)............................. $ 21,088 $ 15,660 $ 20,916
Interest component of rentals(2).................................... 760 586 830
Preferred stock dividends........................................... 7,933 5,950 7,933
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$ 29,781 $ 22,196 $ 29,679
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Earnings to fixed charges ratio:
Ratio............................................................. -- 1.0x --
Deficiency........................................................ $ 13,213 $ -- $ 1,387
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(1) DeCrane Holdings Co. is a newly incorporated entity formed in July 1998.
(2) Reflects one-third of rental expense under operating leases considered to
represent interest cost.