EX-12.1 6 exhibit121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
 
Exhibit 12.1

Centene Corporation
Computation of ratio of earnings to fixed charges
($ in thousands)
 

   
Year Ended December 31,
 
     
2006
 
 
2005
 
 
2004
 
 
2003
 
 
2002
  
Earnings:
                                
Pre-tax earnings from continuing operations
  
$
(21,652
)
$
85,856
  
$
70,287
  
$
51,893
  
$
41,136
  
Addback:
                                
Fixed charges
    
15,573
   
6,506
   
2,489
   
1,232
   
915
 
    Total earnings
  
$
(6,079
)
$
92,362
  
$
72,776
  
$
53,125
  
$
42,051
  
                                 
Fixed Charges:
                                
Interest expense
  
$
10,636
  
$
3,990
  
$
680
  
$
194
  
$
45
  
Interest component of rental payments (1)
    
4,937
   
2,516
   
1,809
   
1,038
   
870
 
    Total fixed charges
  
$
15,573
  
$
6,506
  
$
2,489
  
$
1,232
  
$
915
  
                                 
Ratio of earnings to fixed charges
    
(0.39
)
  
14.20
    
29.24
    
43.12
    
45.96
  
                                 
Dollar amount of deficiency
  
$
21,652
    
-   
 
 
-   
 
 
-   
 
 
-   
 
 
(1)
Estimated at 33% of rental expense as a reasonable approximation of the interest factor.