EX-12.1 34 may1704_ex1201.txt EXHIBIT 12.1 Mueller Group, Inc. Computation of Ratio of Earnings to Fixed Charges/Deficiency In the Overage of Fixed Charges by Earnings Before Fixed Charges Predecessor | Mueller ------------------------------------------------------------------------------------------ For the | For the period | period from | from October | August 16, 1, 1998 | 1999 Fiscal Years ended September 30, Six months ended through | through ------------------------------------------- -------------------- August | September March March 15, 1999 | 30, 1999 2000 2001 2002 2003 29, 2003 27, 2004 --------- | -------- -------- -------- --------- ---------- --------- --------- | (unaudited) | (dollars in millions) Earnings before fixed charges: | Income (loss) before income | taxes ...................... $ 108.0 | $ (4.5) $ (17.1) $ (54.0) $ 23.6 $ 57.9 $ 18.7 $ 25.7 Fixed charges ................. 3.2 | 11.3 85.2 71.8 64.7 52.8 27.6 21.7 --------- | -------- -------- -------- --------- ---------- --------- --------- Earnings (loss) before fixed | charges .................... $ 111.2 | $ 6.8 $ 68.1 $ 17.8 $ 88.3 $ 110.7 $ 46.3 $ 47.4 ========= | ======== ======== ======== ========= ========== ========= ========= Fixed charges: | Interest expense(1) ........... $ -- | $ 10.6 $ 82.3 $ 69.0 $ 62.3 $ 49.7 $ 26.0 $ 20.1 Estimate of interest within | rental expense ............. 3.2 | 0.7 2.9 2.8 2.4 3.1 1.6 1.6 --------- | -------- -------- -------- --------- ---------- --------- --------- Total fixed charges ........ $ 3.2 | $ 11.3 $ 85.2 $ 71.8 $ 64.7 $ 52.8 $ 27.6 $ 21.7 ========= | ======== ======== ======== ========= ========== ========= ========= Ratio of earnings to fixed | charges .................... 34.75| -- -- -- 1.36 2.10 1.68 2.18 ========= | ======== ======== ======== ========= ========== ========= ========= Deficiency in the coverage of | fixed charges by earnings | before fixed charges ....... $ -- | $ (4.5) $ (17.1) $ (54.0) $ -- $ -- $ -- $ -- ========= | ======== ======== ======== ========= ========== ========= =========
------------------ (1) Includes amortization of deferred financing fees and contractual interest expense. Excludes early redemption penalties, write-off of deferred financing fees and interest rate swap gains or losses. Computation of Pro Forma Ratio of Earnings to Fixed Charges After Adjustment for Issuance of Notes Fiscal year ended Six months ended September 30, 2003 March 27, 2003 ---------------- --------------- (dollars in millions) Earnings before fixed charges...................................... $ 110.7 $ 47.4 ---------------- --------------- Fixed charges, as above............................................ $ 52.8 $ 21.7 ---------------- --------------- Adjustments: Estimated net increase in interest expense from refinancing..... 41.2 $ 20.8 Total pro forma fixed charges................................. $ 94.0 42.5 ================ =============== Pro forma ratio of earnings to fixed charges....................... 1.18 1.12 ---------------- --------------- Deficiency in the coverage of fixed charges by earnings before fixed charges................................................... $ -- $ -- ---------------- ---------------
------------------ (2) Pro forma does not include the effects of the Star Pipe Fittings (Star) acquisition that occurred January 15, 2004. 1