EX-12.1 6 dex121.htm STATEMENT RE COMPUTATION OF RATIOS Statement Re Computation of Ratios

EXHIBIT 12.1

AMERICREDIT CORP.

STATEMENT RE COMPUTATION OF RATIOS

(dollars in thousands)

 

     Years Ended June 30,
     2009    2008     2007    2006    2005

COMPUTATION OF EARNINGS:

              

Income before income taxes

    $ 36,836    $ (92,179 )    $ 532,067    $ 485,235    $ 452,399

Fixed charges

      664,727      833,382        686,358      425,180      269,146
                                   
   $ 701,563    $ 741,203      $ 1,218,425    $ 910,415    $ 721,545
                                   

COMPUTATION OF FIXED CHARGES:

              

Fixed charges: (a)

              

Interest expense (b)

    $ 659,519    $ 827,219      $ 680,825    $ 419,360    $ 264,276

Implicit interest in rent

      5,208      6,163        5,533      5,820      4,870
                                   
   $ 664,727    $ 833,382      $ 686,358    $ 425,180    $ 269,146
                                   

RATIO OF EARNINGS TO FIXED CHARGES

      1.1x           (c)      1.8x      2.1x      2.7x
                                   

 

(a) For purposes of such computation, the term “fixed charges” represents interest expense, including amortization of debt issuance costs, and a portion of rentals representative of an implicit interest factor for such rentals.

 

(b) For the years ended June 30, 2009 and 2008, respectively interest expense excludes $45.1 million and $10.2 million of non-cash amortization of warrant costs.

 

(c) As a result of the $212.6 million pre-tax write-off of goodwill, the amount of the coverage deficiency for the year ended June 30, 2008, was approximately $92.2 million.