EX-12.1 3 g92801exv12w1.txt EX-12.1 COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES . . . EXHIBIT 12.1 AIRGATE PCS, INC. SCHEDULE OF EARNINGS TO FIXED CHARGES
NINE MONTHS ENDED YEAR ENDED SEPTEMBER 30, SEPTEMBER 30, ---------------------------------------------------------------------- 1999 2000 2001 2002 2003 2004 ------- ------- -------- ------- ------- ------- Income (loss) before income taxes, minority interest and extraordinary item (15,599) (81,323) (110,990) (92,780) (42,186) (10,135) Amortization of capitalized interest 111 816 1,702 2,207 2,444 2,364 Fixed charges 10,817 34,508 35,616 42,386 47,792 41,485 Interest capitalized (1,109) (5,938) (2,917) (2,137) (236) (75) ------- ------- -------- ------- ------- ------- Earnings (loss) available for combined fixed charges (5,780) (51,937) (76,589) (50,324) 7,814 33,639 ======= ======= ======== ======= ======= ======= Combined fixed charges: Interest expense 651 1,885 3,890 5,502 8,476 19,164 Amortization of original issue discount on Subordinate Notes 8,707 23,043 23,799 28,762 33,020 16,126 Amortization of deferred financing costs -- 1,192 1,210 1,210 1,210 995 ------- ------- -------- ------- ------- ------- Total interest expense 9,358 26,120 28,899 35,474 42,706 36,285 ------- ------- -------- ------- ------- ------- Interest capitalized 1,109 5,938 2,917 2,137 236 75 Estimated interest expense within rental expense (1) 350 2,450 3,800 4,775 4,850 5,125 ------- ------- -------- ------- ------- ------- Total combined fixed charges 10,817 34,508 35,616 42,386 47,792 41,485 ======= ======= ======== ======= ======= ======= Ratio of earnings to fixed charges (0.5) (1.5) (2.2) (1.2) 0.2 0.8 Additional earnings necessary for 1:1 ratio 16,597 86,445 112,205 92,710 39,978 7,846 (1) The interest component of rental expense was assumed to be 25% of operating lease expense. Rental expense 1,400 9,800 15,200 19,100 19,400 20,500