EX-12.1 8 dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

Exhibit 12.1

 

MASSEY ENERGY COMPANY

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In thousands, except ratios)

 

     Year Ended December 31,
  

Two Months
Ended
December 31,

2001

   

Year Ended

October 31,

2001

     2005
    2004
    2003
    2002
      

Earnings:

                                          

Income (Loss) before taxes

    $ (75,410)    $ (5,643)    $ (60,651)    $ (57,520)    $ (23,524)    $ (15,921)

Fixed charges

      80,351      74,502      67,501      52,413      7,971      51,585

Capitalized interest

      —        —        —        (382)              

Amortization of capitalized interest

      20      20      20      5      —        —  
    
  
  
  
  
  

Earnings (Loss) before taxes and fixed charges

    $ 4,961    $ 68,879    $ 6,870    $ (5,484)    $ (15,553)    $ 35,664

Fixed charges:

                                          

Interest expense

    $ 67,064    $ 60,660    $ 48,259    $ 35,302    $ 5,302    $ 34,214

Capitalized interest

      —        —        —        382      —        —  

Interest portion of rental expense

      13,287      13,842      19,242      16,729      2,669      17,371
    
  
  
  
  
  

Total fixed charges

    $ 80,351    $ 74,502    $ 67,501    $ 52,413    $ 7,971    $ 51,585

Ratio of earnings to fixed charges

      (a)      (a)      (a)      (a)      (a)      (a)
(a) Earnings for the years ended December 31, 2005, 2004, 2003 and 2002, the two months ended December 31, 2001, and the year ended October 31, 2001, were inadequate to cover fixed charges, with a deficiency of $75.4 million, $5.6 million, $60.6 million, $57.9 million, $23.5 million and $15.9 million, respectively.