EX-12.1 3 dex121.htm STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Statement of Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

STAR GAS PARTNERS, L.P.

STATEMENT OF COMPUTATION OF EARNINGS TO FIXED CHARGES

(In Thousands of Dollars, Except Ratio)

 

     Year Ended September 30  
     2010(1)      2009      2008     2007      2006  

Earnings:

             

Income (loss) before income taxes

   $ 43,952       $ 73,441       $ (12,842   $ 41,304       $ (53,442

Add:

             

Interest expense

     14,326         17,842         20,691        20,448         26,288   

Debt issuance amortization

     2,680         2,750         2,339        2,282         2,438   

Interest component of rent expense (2)

     4,426         5,278         4,626        4,418         4,458   
                                           
   $ 65,384       $ 99,311       $ 14,814      $ 68,452       $ (20,258
                                           

Fixed charges:

             

Interest expense

   $ 14,326       $ 17,842       $ 20,691      $ 20,448       $ 26,288   

Debt issuance amortization

     2,680         2,750         2,339        2,282         2,438   

Interest component of rent

expense (2)

     4,426         5,278         4,626        4,418         4,458   
                                           
   $ 21,432       $ 25,870       $ 27,656      $ 27,148       $ 33,184   
                                           

Ratio(3)

     3.1         3.8         *        2.5         *   

 

(1) The following computation for the year ended September 30, 2010, reflect, on a pro-forma basis, earnings available for fixed charges, fixed charges and resultant ratios. The computation give effect to the sale of the 8.875% Senior Notes.

(Amounts in 000’s, except ratio)

 

     2010  

Income as adjusted

   $ 65,384   

Fixed charges

   $ 21,432   

Pro-forma adjustments

  

Net increases in interest resulting from the substitution of proceeds from sale of the 8.875%

  

Senior Notes for the 10.25% Senior Notes

     2,729   
        

Pro-forma fixed charges

   $ 24,161   
        

Pro-forma ratio of earnings to fixed charges

     2.71   

 

(2) One third of rent is the portion deemed representative of the interest component.
(3) Ratio is less than 1:1. Deficiency is $12.8 million and $53.4 million for the fiscal years ended September 30, 2008 and 2006, respectively.