EX-12.1 2 l25740aexv12w1.htm EX-12.1 EX-12.1
 

Exhibit 12.1
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
                                         
    Year Ended December 31,  
(in millions, except for ratios)   2002     2003     2004     2005     2006  
Earnings:
                                        
Earnings (loss) before Income Taxes
   $  96,530     $  106,409     $  110,372     $  71,302     $  (309,524 )
Fixed Charges
     13,761       10,662       15,591       28,805       35,565  
 
                              
Total Earnings (loss)
   $  110,291     $  117,071     $  125,963     $  100,107     $  (273,959 )
 
                              
 
                                        
Fixed Charges:
                                        
Interest Expense
   $  12,722     $  9,429     $  14,201     $  27,246     $  34,084  
Amortization of debt offering costs
     377       423       434       600       390  
Interest portion of rent expense
     662       810       956       959       1,091  
 
                              
Total Fixed Charges
   $  13,761     $  10,662     $  15,591     $  28,805     $  35,565  
 
                              
 
                                        
Ratio of Earnings to Fixed Charges (see Note 1)
     8.0       11.0       8.1       3.5       N/A  
 
                              
(1) The ratio of earnings to fixed charges is computed by dividing fixed charges of Invacare Corporation and our subsidiaries into earnings before income taxes. Fixed charges include interest expense, amortization of debt offering costs and the portion of rent expense which is deemed to be representative of the interest factor. For the year ended December 31, 2006, the ratio is inapplicable since the company incurred a loss in this year. Earnings were inadequate to cover fixed charges by $309.5 million for the year ended December 31, 2006.