EX-12.1 2 d389582dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

SILVERBOW RESOURCES, INC.

RATIO OF EARNINGS TO FIXED CHARGES (in thousands)

 

     Predecessor      Successor  
     Year Ended December 31,     January 1,
2016 to April
22, 2016		      April 23,
2016 to
December
31, 2016		     Three
Months
Ended
March 31,
2017		  
     2012     2013     2014     2015         

EARNINGS (LOSS)

                

BEFORE INCOME TAXES

    $ 37,773     $ 198     $ (433,470 )    $ (1,734,514 )    $ 851,611      $ (156,288 )    $ 17,710  

PLUS FIXED CHARGES

      66,180       77,636       79,019       81,600       13,517        16,140       3,803  

LESS CAPITALIZED INTEREST

      (7,890 )      (7,223 )      (5,024 )      (4,893 )      0        (537 )      (196 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

  

EARNINGS AVAILABLE FOR FIXED CHARGES

    $ 96,063     $ 70,611     $ (359,475 )    $ (1,657,807 )    $ 865,128      $ (140,685 )    $ 21,317  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

  

FIXED CHARGES

                

INTEREST EXPENSE

    $ 57,303     $ 69,382     $ 73,207     $ 75,870     $ 13,347      $ 15,310     $ 3,607  

CAPITALIZED INTEREST

      7,890       7,223       5,024       4,893       0        537       196  

INTEREST COMPONENT OF RENT

      987       1,031       788       837       170        293       0  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

  
     66,180       77,636       79,019       81,600       13,517        16,140       3,803  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

  

RATIO OF EARNINGS TO FIXED CHARGES

      1.45       0.91       —         —         64.00        —         5.61  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

     

 

 

    

 

 

  

Deficiency of earnings to fixed charges

        $ 438,494     $ 1,739,407        $ 156,825    

For purposes of calculating the ratio of earnings to fixed charges, fixed charges include interest expense, capitalized interest, amortization of debt issuance costs and discounts, and that portion of non-capitalized rental expense deemed to be the equivalent of interest. Earnings represents income before income taxes and cumulative effect of change in accounting principle before interest expense, net, and that portion of rental expense deemed to be the equivalent of interest. Due to the non-cash charge incurred in 2015 caused by the write-downs in the carrying value of oil and gas properties, 2015 earnings were insufficient by $1.74 billion to cover fixed charges.