EX-12.1 2 cpih-2014100310kxex121.htm EXHIBIT 12.1 CPIH-2014.10.03 10K-EX12.1


Exhibit 12.1


CPI INTERNATIONAL HOLDING CORP.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in thousands)

 
 
 
 
Successor(a)
 
 
Predecessor(a)
 
 
 
 
 Year Ended
 
 Period
February 11 to
 
 
 Period
October 2, 2010 to
 
 Year Ended
 
 
 
 
October 3,
2014
 
September 27,
2013
 
September 28,
2012
 
  September 30,
2011
 
 
 February 10,
2011
 
 October 1,
2010
Earnings calculation:
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) before taxes
 
$
16,813

 
$
16,295

 
$
7,100

 
$
(8,549
)
 
 
$
(3,747
)
 
$
12,361

Add Back: Fixed Charges
 
33,528

 
28,291

 
28,218

 
18,305

 
 
6,118

 
16,046

Calculated Earnings
 
$
50,341

 
$
44,586

 
$
35,318

 
$
9,756

 
 
$
2,371

 
$
28,407

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges calculation (b)
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense (c)
 
$
32,182

 
$
27,237

 
$
27,230

 
$
17,708

 
 
$
5,788

 
$
15,213

Interest expense portion of rental expense
 
1,346

 
1,054

 
988

 
597

 
 
330

 
833

 
 
 
 
$
33,528

 
$
28,291

 
$
28,218

 
18,305

 
 
6,118

 
16,046

Ratio: Earnings / Fixed charges (d)
 
1.50

 
1.58

 
1.25

 

 
 

 
1.77

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense portion of rental expense:
 
 
 
 
 
 
 
 
 
 
 
 
 
Rental expense
 
$
4,037

 
$
3,163

 
$
2,965

 
$
1,791

 
 
$
990

 
$
2,500

Estimated Interest Cost
 
33
%
 
33
%
 
33
%
 
33
%
 
 
33
%
 
33
%
Calculated total
 
$
1,346

 
$
1,054

 
$
988

 
$
597

 
 
$
330

 
$
833

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(a)
For periods prior to the February 2011 merger with The Veritas Capital Fund IV, L.P., the term “Predecessor” refers to CPI International, Inc. and its consolidated subsidiaries, and, for periods after the said merger, the term “Successor” refers to CPI International Holding Corp. and its consolidated subsidiaries.
(b)
Fixed charges exclude capitalized interest; capitalized interest is zero.
(c)
Includes normal debt issue amortization costs, but does not include gain or loss on debt extinguishment.
(d)
For the periods February 11, 2011 to September 30, 2011 and October 2, 2010 to February 10, 2011, earnings were not sufficient to cover fixed charges by $8,500 and $3,700, respectively.