EX-12.1 4 dex121.htm STATEMENT RE COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Statement re Computation of Ratio of Earnings to Fixed Charges

EXHIBIT 12.1

Alliance Laundry Holdings Inc

Earnings to Fixed Charges

 

   

January 28,
2005 through
December 31,

2005

        

January 1,
2005 through
January 27,

2005

    Years Ended December 31,
             2004    2003    2002    2001
    Successor          Predecessor     Predecessor    Predecessor    Predecessor    Predecessor

Earnings:

                     

Income (loss) before taxes

  $ (1,819 )        $   (28,383 )   $   11,836    $   15,974    $   1,391    $   2,764

Fixed charges:

                     

Interest expense

    24,117            995       25,439      28,258      28,341      33,538

Rentals

    476            25       441      360      337      363
                                               

Income (loss) before taxes and fixed charges

  $   22,774          $ (27,363 )   $ 37,716    $ 44,592    $ 30,069    $ 36,665
 

Fixed Charges

  $   24,593          $ 1,020     $ 25,880    $ 28,618    $ 28,678    $ 33,901

Ratio of earnings to fixed charges

    —              —         1.46      1.56      1.05      1.08

(a) For purposes of determining the ratio of earnings to fixed charges, earnings are defined as income (loss) before income taxes and cumulative effect of change in accounting principle plus fixed charges. Fixed charges include interest expense on all indebtedness, amortization of deferred financing costs and one-third of rental expense on operating leases, representing that portion of rental expense deemed to be attributable to interest. In 2005, the Successor earnings were inadequate to cover fixed charges. The amount of incremental earnings required to attain a ratio of 1.0 to 1.0 is less than $1.8 million. In 2005, the Predecessor earnings were inadequate to cover fixed charges. The amount of incremental earnings required to attain a ratio of 1.0 to 1.0 is $28.4 million.