EX-12.1 4 h47135exv12w1.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

Exhibit 12.1
Complete Production Services, Inc.
Calculation of Ratio of Earnings to Fixed Charges, as Defined
Updated May 25, 2007
                                                 
    Year   Year   Year   Year   Year   Quarter
    Ended   Ended   Ended   Ended   Ended   Ended
    12/31/02   12/31/03   12/31/04   12/31/05   12/31/06   3/31/07
Earnings:
                                               
Pre-tax income before M.I.
    (1,354 )     1,375       26,465       84,420       215,122       76,790  
Fixed charges
    1,482       3,141       8,078       25,138       44,336       16,452  
Amort. of capitalized interest
                            17  (c)     29  (c)
Less: interest capitalized
                            (2,058 )     (427 )
Less: minority interest
          (247 )     (4,705 )     (384 )     49       (261 )
 
                                               
Total earnings
    128       4,269       29,838       109,174       257,467       92,583  
 
                                               
Fixed Charges:
                                               
Interest expensed
    1,260       2,683       7,218       23,875       40,308       15,108  
Interest capitalized
                            2,058       427  
Deferred financing fees
    101  (b)     212  (b)     465       585       451       517  
Interest in rent expense
    121  (a)     246       395       678       1,519       400  (d)
 
                                               
Total fixed charges
    1,482       3,141       8,078       25,138       44,336       16,452  
 
                                               
 
                                               
Ratio of earnings to FC
    0.09       1.36       3.69       4.34       5.81       5.63  
 
                                               
 
(a)   Calculated at 1/2 of 2003 actuals per audited financial statements for IPS (IPSL was acquired by Sabre in July 2002—thus, the majority of the operating lease arrangements would have only been in place for approx. half of the year).
 
(b)   Projected based upon 2004 actual expense and status of accumulated amortization associated with deferred financing fees on IPS’ books as of that date. Total IPS accumulated amortization at 12/31/04 was $525k, of which $212k related to 2004. A similar amount was allocated to 2003 with the remainder allocated to 2002.
 
(c)   Total capitalized interest assuming a 20 year life (drilling rigs) and assuming amortization for the applicable periods.
 
(d)   Calculated as actual 2006 rent expense at 7.9% (approx. effective annual interest rate of 7.84%) for three months.