EX-12.1 8 d262263dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of ratio of earnings to fixed charges

EXHIBIT 12.1

CARRIZO OIL & GAS, INC.

STATEMENT OF COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND

EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

 

     Years Ended December 31     Nine Months Ended
September 30		  
     2010     2009     2008     2007     2006     2011     2010  
     (In thousands, except ratios)        

Earnings

               

Income (loss) before income taxes and equity in income of investee

    $ 15,679      $ (318,152 )    $ (65,772 )    $ 24,712      $ 28,446      $ 48,371      $ 53,171   

Interest expense

      43,264        38,286        30,257        26,403        19,071        38,001        30,058   

Less interest capitalized

      (20,746 )      (19,696 )      (20,527 )      (11,718 )      (9,975 )      (16,937 )      (15,062 ) 

Interest portion of rental expense

      1,292        1,237        1,568        1,096        619        1,099        924   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Earnings

    $ 39,489      $ (298,325 )    $ (54,474 )    $ 40,493      $ 38,161      $ 70,534      $ 69,091   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed Charges

               

Interest expense

    $ 43,264      $ 38,286      $ 30,257      $ 26,403      $ 19,071        38,001        30,058   

Interest portion of rental expense

      1,292        1,237        1,568        1,096        619        1,099        924   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Fixed Charges

    $ 44,556      $ 39,523      $ 31,825      $ 27,499      $ 19,690      $ 39,100      $ 30,982   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of Earnings to Fixed Charges

      0.89 (1)      —   (2)      —   (3)      1.47        1.94        1.80        2.23   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

     Years Ended December 31     Nine Months Ended
September 30		  
     2010     2009     2008     2007     2006     2010     2009  
     (In thousands, except ratios)        

Earnings

               

Income (loss) before income taxes and equity in income of investee

    $ 15,679      $ (318,152 )    $ (65,772 )    $ 24,712      $ 28,446      $ 48,371      $ 53,171   

Interest expense

      43,264        38,286        30,257        26,403        19,071        38,001        30,058   

Less interest capitalized

      (20,746 )      (19,696 )      (20,527 )      (11,718 )      (9,975 )      (16,937 )      (15,062 ) 

Interest portion of rental expense

      1,292        1,237        1,568        1,096        619        1,099        924   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Earnings

    $ 39,489      $ (298,325 )    $ (54,474 )    $ 40,493      $ 38,161      $ 70,534      $ 69,091   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Combined Fixed Charges and Preferred Stock Dividends

               

Interest expense

    $ 43,264      $ 38,286      $ 30,257      $ 26,403      $ 19,071        38,001        30,058   

Interest portion of rental expense

      1,292        1,237        1,568        1,096        619        1,099        924   

Preferred stock dividend requirements of Carrizo Oil & Gas, Inc.

      —          —          —          —          —          —          —     
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Combined Fixed Charges and Preferred Stock Dividends

    $ 44,556      $ 39,523      $ 31,825      $ 27,499      $ 19,690      $ 39,100      $ 30,982   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

      0.89 (1)      —   (2)      —   (3)      1.47        1.94        1.80        2.23   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) Earnings for the year ended December 31, 2010, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $5.1 million primarily due to non-cash impairments of oil and gas properties of $2.7 million.

 

(2) Earnings for the year ended December 31, 2009, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $337.8 million due to non-cash impairments of oil and gas properties of $338.9 million.

 

(3) Earnings for the year ended December 31, 2008, were insufficient to cover fixed charges and combined fixed charges and preferred stock dividends by $86.3 million due to a non-cash impairment of oil and gas properties of $178.5 million.