EX-12.1 6 h55591exv12w1.htm RATIO OF EARNINGS TO FIXED CHARGES exv12w1
 

Exhibit 12.1
Legacy Reserves LP
Computation of Ratios of Earnings to Fixed Charges
(In thousands, except ratios)
                                         
    Years Ended December 31,  
    2007     2006     2005     2004     2003  
Income (loss) before income taxes and cumulative effect of a change in accounting principle in 2003
   $ (55,325 )   $ 4,357     $ 5,859     $ 9,194     $ 4,207  
Equity in (income) loss of equity method investee
     (77 )     318       495       (184 )     (311 )
Distributed income of equity method investee
     —       —       —       104       139  
 
                              
Income (loss) from operations before income taxes
   $ (55,402 )   $ 4,675     $ 6,354     $ 9,114     $ 4,035  
 
                              
 
                                        
Fixed Charges
                                        
 
                                        
Interest expensed
   $ 6,894     $ 6,284     $ 1,490     $ 214     $ 94  
Amortization of debt issuance costs
     224       361       94       —       —  
Estimated portion of rental expense attributable to interest
     59       27       27       27       27  
 
                              
Total fixed charges
   $ 7,177     $ 6,672     $ 1,611     $ 241     $ 121  
 
                              
Earnings available for fixed charges
   $ (48,225 )   $ 11,347     $ 7,965     $ 9,355     $ 4,156  
 
                              
Ratio of earnings to fixed charges
     (1 )     1.70x       4.94x       38.82x       34.35x  
 
                              
 
(1)   Earnings were insufficient to cover fixed charges, and fixed charges exceeded earnings by approximately $55.402 million