EX-12.1 3 a07-3468_1ex12d1.htm EX-12.1

Exhibit 12.1

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
EPIQ SYSTEMS, INC.
(In Thousands, except for Ratio)

 

 

Year Ended December 31,

 

Earnings (Loss)

 

2005

 

2004

 

2003

 

income (loss) from continuing operations

 

$

(3,842

)

$

(7,290

)

$

9,595

 

tax expense (benefit) related to continuing operations

 

(2,400

)

(4,313

)

6,939

 

pre-tax earnings (loss)

 

(6,242

)

(11,603

)

16,534

 

Plus

 

 

 

 

 

 

 

fixed charges

 

7,676

 

7,176

 

550

 

amortization of capitalized interest

 

0

 

0

 

0

 

distributed income — equity investees

 

0

 

0

 

0

 

share of pre-tax losses of equity investees

 

0

 

0

 

0

 

 

 

 

 

 

 

 

 

Less

 

 

 

 

 

 

 

capitalized interest

 

0

 

0

 

0

 

preference dividends of consolidated subs

 

0

 

0

 

0

 

minority interest in subs pre-tax income

 

0

 

0

 

0

 

 

 

 

 

 

 

 

 

Total Earnings (Loss)

 

1,434

 

(4,427

)

17,084

 

 

 

 

 

 

 

 

 

Fixed Charges

 

 

 

 

 

 

 

Interest expensed

 

5,662

 

4,223

 

201

 

Interest capitalized

 

0

 

0

 

0

 

amortized deferred loan charges

 

1,147

 

2,120

 

0

 

estimated interest expense in leases

 

867

 

833

 

349

 

preference dividends of consolidated subs

 

0

 

0

 

0

 

Total Fixed Charges

 

7,676

 

7,176

 

550

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

0.2

 

n/a

 

31.1

 

 

For the year ended December 31, 2005, our earnings to fixed charges ratio was less than one to one coverage.  The amount of such deficiency was $6,242.

For the year ended December 31, 2004, we had a total loss.  Accordingly, our earnings to fixed charges ratio was less than one to one coverage.  The amount of such deficiency was $11,603.