EX-12.1 3 d25236exv12w1.htm SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

Exhibit 12.1

LENNOX INTERNATIONAL INC. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(UNAUDITED)

                                                 
                                            For the Three  
                                            Months Ended  
    For the Years Ended December 31,     March 31,  
(In millions, except ratio)   2004     2003     2002     2001     2000     2005  
         
EARNINGS AS DEFINED:
                                                
 
                                                
Income (loss) before income taxes, cumulative effect of accounting change, minority interest and income or loss from equity investees
   $ (124.9 )   $ 126.5     $ 74.4     $ (44.3 )   $ 100.6     $ 5.7  
 
                                                
Fixed charges
   $ 52.3     $ 52.8     $ 59.5     $ 69.2     $ 81.7     $ 9.6  
       
 
                                                
Earnings as defined
   $ (72.6 )   $ 179.3     $ 133.9     $ 24.9     $ 182.3       15.3  
       
 
                                                
FIXED CHARGES AS DEFINED:
                                                
 
                                                
Interest expense, including amortization of deferred finance charges
   $ 32.3     $ 32.0     $ 36.5     $ 45.9     $ 59.3     $ 6.0  
 
                                                
Portion of rental expense representative of the interest factor
   $ 20.0     $ 20.8     $ 23.8     $ 23.3     $ 22.4     $ 3.6  
       
 
                                                
Fixed charges as defined
   $ 52.3     $ 52.8     $ 60.3     $ 69.2     $ 81.7     $ 9.6  
       
 
                                                
RATIO OF EARNINGS TO FIXED CHARGES (1), (2)
    —       3.40       2.22       —       2.23       1.59  
       

(1)   Due to impairment costs associated with the Company’s Service Experts segment in 2004 of $225.9 million , additional earnings of $124.9 million would have been necessary to cover fixed charges.
 
(2)   Due to restructuring charges in 2001 of $73.2 million (of which $7.8 million was included in cost of goods sold), additional earnings of $44.3 million would have been necessary to cover fixed charges.