EX-12 5 dex12.txt COMPUTATION OF RATIOS EXHIBIT 12 ENCOMPASS SERVICES CORPORATION AND SUBSIDIARIES COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES (in thousands, except ratios) (Unaudited)
Six months Years ended December 31, ended June 30, ------------------------------------- --------------- 1996 1997 1998 1999 2000 2000 2001 ---- ------ ------- -------- -------- ------- ------- Earnings available for fixed charges: Income before income tax provision.......... $428 $1,537 $83,583 $ 95,089 $123,098 $51,127 $44,400 Fixed Charges........... 395 321 3,587 39,651 102,346 46,193 50,773 ---- ------ ------- -------- -------- ------- ------- Total................. $823 $1,858 $87,170 $134,740 $225,444 $97,320 $95,173 ==== ====== ======= ======== ======== ======= ======= Fixed Charges: Interest expense (a).... $224 $ 208 $ 1,054 $ 35,618 $ 88,101 $39,686 $42,555 Interest portion of rent expense (b)....... 171 113 2,533 4,033 14,245 6,507 8,218 ---- ------ ------- -------- -------- ------- ------- Total................. $395 $ 321 $ 3,587 $ 39,651 $102,346 $46,193 $50,773 ==== ====== ======= ======== ======== ======= ======= Ratio of earnings to fixed charges........... 2.08 5.79 24.30 3.40 2.20 2.11 1.87
-------- (a) Includes amortization of deferred debt issue costs and original issue discount. (b) Interest portion of rent expense is estimated at one third of rent expense.