EX-12.1 5 c80983a2exv12w1.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

EXHIBIT 12.1

AIRGATE PCS, INC.
Financial Reporting
Schedule of Earnings to Fixed Charges

                                                   
              Nine Months                            
          Ended   Year Ended September 30,
          September 30,  
          1999   2000   2001   2002   2003
             
 
 
 
 
      (Dollars in thousands)
Income (loss) before income taxes, minority interest and extraordinary item
            (15,599 )     (81,323 )     (110,990 )     (1,025,378 )     (84,757 )
Fixed charges
            9,708       28,570       32,699       64,653       81,247  
 
           
     
     
     
     
 
Earnings (loss) available for combined fixed charges
            (5,891 )     (52,753 )     (78,291 )     (960,725 )     (3,510 )
 
           
     
     
     
     
 
Combined fixed charges:
                                               
 
Interest expense
            651       1,885       3,890       5,272       18,893  
 
Amortization of original issue discount on Subordinate Notes
            8,707       23,043       23,799       50,670       35,444  
 
Amortization of deferred financing costs
                  1,192       1,210       1,211       1,210  
 
Estimated interest expense within rental expense (1)
            350       2,450       3,800       7,500       25,700  
 
           
     
     
     
     
 
Total combined fixed charges
            9,708       28,570       32,699       64,653       81,247  
 
           
     
     
     
     
 
Ratio of earnings to fixed charges (2)
                                     
Additional earnings necessary for 1:1 ratio
            15,599       81,323       110,990       1,025,378       84,757  


(1)   The interest component of rental expense was assumed to be 25% of operating lease expense.
     
(2)   Earnings were inadequate to cover fixed charges for the nine months ended September 30, 1999, the years ended September 30, 2000, 2001, 2002, and 2003 by $15,599, $81,323, $110,990, $1,025,378, and $84,757, respectively.