EX-12.1 4 petx-20170804xex12_1.htm EX-12.1 Exhibit 121

Exhibit 12.1

Computation of Ratio of Earnings to Fixed Charges and Preferred Share Dividends

(in thousands)

 







 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 



 

Fiscal Year Ended
December 31,
2012

 

Fiscal Year Ended
December 31,
2013

 

Fiscal Year Ended
December 31,
2014

 

Fiscal Year Ended
December 31,
2015

 

Fiscal Year Ended
December 31,
2016

 

Six Months Ended
June 30,
2017

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest related to the Credit Facility*

 

$

 —

 

$

 432 

 

$

 1,060 

 

$

 1,585 

 

$

 3,396 

 

$

 1,731 

Interest portion of rental expense**

 

 

 53 

 

 

 60 

 

 

 203 

 

 

 238 

 

 

 264 

 

 

 101 

Total fixed charges

 

$

 53 

 

$

 492 

 

$

 1,263 

 

$

 1,823 

 

$

 3,660 

 

$

 1,832 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax loss from continuing operations

 

$

 (11,778)

 

$

 (19,781)

 

$

 (41,609)

 

$

 (89,496)

 

$

 (30,819)

 

$

 (21,425)

Fixed charges

 

 

 53 

 

 

 492 

 

 

 1,263 

 

 

 1,823 

 

 

 3,660 

 

 

 1,832 

Total earnings

 

$

 (11,725)

 

$

 (19,289)

 

$

 (40,346)

 

$

 (87,673)

 

$

 (27,159)

 

$

 (19,593)

Preferred dividend requirement

 

$

 2,035 

 

$

 —

 

$

 —

 

$

 —

 

$

 —

 

$

 —

Combined fixed charges and preferred dividends

 

$

 2,088 

 

$

 492 

 

$

 1,263 

 

$

 1,823 

 

$

 3,660 

 

$

 1,832 

Ratio of earnings to combined fixed charges and preferred dividends

 

 

(a)

 

 

(b)

 

 

(c)

 

 

(d)

 

 

(e)

 

 

(f)







 

 *

“Credit Facility” refers to the Loan and Security Agreement, effective as of October 16, 2015, as amended on February 24, 2017 and July 31, 2017, by and among Aratana Therapeutics, Inc., Vet Therapeutics, Inc., Pacific Western Bank, as a collateral agent, and Oxford Finance, LLC.

 

**

Represents estimated interest associated with certain facility, equipment and vehicle leases (at an assumed rate of 33% of total rent expense for facility and equipment leases, which management believes is a reasonable approximation of the interest factor).



 

 

(a)

Earnings in fiscal year ended December 31¸ 2012 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $13.8 million.

 



 

(b)

Earnings in the fiscal year ended December 31, 2013 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $19.8 million.





 

(c)

Earnings in the fiscal year ended December 31, 2014 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $41.6 million.  



 

 

(d)

Earnings in the fiscal year ended December 31, 2015 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $89.5 million.





 

(e)

Earnings in the fiscal year ended December 31, 2016 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $30.8 million.





 

(f)

Earnings in the six months ended June 30, 2017 were inadequate to cover combined fixed charges and preferred dividends. The coverage deficiency was approximately $21.4 million.