EX-12.1 2 c15047exv12w1.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

EXHIBIT 12.1
Digital River, Inc.
Computation of Ratio of Earnings to Fixed Charges
(in thousands, except ratios)
                                                 
                                            Three
                                            months
                                            ended
    Years ended December 31,   March 31,
    2002   2003   2004   2005   2006   2007
Income (Loss) from operations as reported
   $ (916 )   $ 16,298     $ 34,762     $ 66,713     $ 67,595     $ 23,015  
Add: Fixed charges
     165       235       2,094       3,092       3,240       830  
Earnings as defined
     (751 )     16,533       36,856       69,805       70,835       23,845  
Fixed charges
   $ 165     $ 235     $ 2,094     $ 3,092     $ 3,240     $ 830  
Ratio of earnings to fixed charges (1)
     —       70.4       17.6       22.6       21.9       28.7  
 
(1)   The ratio of earnings to fixed charges is computed by dividing income (loss) from operations plus fixed charges by fixed charges. Fixed charges consist of interest expense, amortization of debt issuance costs and that portion of rental payments under operating leases that we believe to be representative of interest. Earnings were insufficient to cover fixed charges in 2002 by an amount equal to the net loss for the period.