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

Exhibit 12.1

 

CSG Systems International, Inc.

Ratio of Earnings to Fixed Charges

(in thousands, except ratios)

 

     Years ended December 31,

    Six months
ended
June 30,


     1999

   2000

   2001

   2002

   2003(1)

    2004(2)

Income (loss) from continuing operations before income taxes

   $ 95,929    $ 145,203    $ 183,442    $ 87,544    $ (48,460 )   $ 29,963
    

  

  

  

  


 

Fixed Charges:

                                          

Interest on long-term and short-term debt including amortization of debt expense

     7,214      5,808      3,038      14,033      14,717       6,238

Interest element of rentals

     2,080      3,040      4,240      11,600      9,720       4,352
    

  

  

  

  


 

Total fixed charges

     9,294      8,848      7,278      25,633      24,437       10,590
    

  

  

  

  


 

Earnings before income taxes and fixed charges

   $ 105,223    $ 154,051    $ 190,720    $ 113,177    $ (24,023 )   $ 40,553
    

  

  

  

  


 

Ratio of earnings to fixed charges

     11.32      17.41      26.21      4.42      —         3.83
    

  

  

  

  


 


(1) As a result of the Comcast arbitration ruling, we recognized a loss from continuing operations before income taxes for the year ended December 31, 2003. The amount of the coverage deficiency for the historical year ended December 31, 2003 was $48.5 million.
(2) Excludes the write-off of unamortized deferred financing costs of $6.6 million resulting from the repayment of our outstanding indebtedness under our then-existing credit facility in June 2004.