EX-12 2 ex12.htm EXHIBIT 12

EXHIBIT 12

Statement of Computation of Ratio of Earnings to Fixed Charges
Omnicare, Inc. and Subsidiary Companies
(in thousands, except ratio)
Unaudited

 

 

 

 

 

 

 

 

 

 

Three months ended
March 31,

 

 

 

 

 

 

2006

 

2005

 

 

 

 

 

Income before income taxes

 

$

86,747

 

$

92,797

 

Add fixed charges:

 

 

 

 

 

 

 

Interest expense

 

 

40,432

 

 

18,746

 

Amortization of debt expense

 

 

1,980

 

 

1,173

 

Interest portion of rent expense

 

 

5,730

 

 

4,378

 

 

 

 

 

Adjusted income

 

$

134,889

 

$

117,094

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

Interest expense

 

$

40,432

 

$

18,746

 

Amortization of debt expense

 

 

1,980

 

 

1,173

 

Interest portion of rent expense

 

 

5,730

 

 

4,378

 

 

 

 

 

Fixed charges

 

$

48,142

 

$

24,297

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges(1)

 

 

2.8

x

 

4.8

x

 

 

 

 

 

 

(1)

The ratio of earnings to fixed charges has been computed by adding income before income taxes and fixed charges to derive adjusted income, and dividing adjusted income by fixed charges. Fixed charges consist of interest expense on debt (including the amortization of debt expense) and one-third (the proportion deemed representative of the interest portion) of rent expense.