EX-12.1 3 dex121.txt COMPUTATION OF RATIO OF EARNINGS EXHIBIT 12.1 NPS PHARMACEUTICALS, INC. COMPUTATION OF RATIO OF EARNINGS AVAILABLE TO COVER FIXED CHARGES (in thousands except ratio amounts)
Nine months ended Fiscal Year Ended December 31, September 30, ----------------------------------------------------- ------------------- 1996 1997 1998 1999 2000 2000 2001 -------- -------- -------- -------- -------- -------- -------- Earnings (Loss) Pre-tax income (loss) before adjustments for income from equity investees and cumulative effect on prior years of change in accounting principle $6,455 $(11,527) $(17,162) $(35,654) $(31,612) $(25,402) $(37,648) Total fixed charges 317 245 240 302 463 355 297 Distributed income of equity investees - - - - - - 1,288 -------- -------- -------- -------- -------- -------- -------- Total earnings (losses) before fixed charges $6,772 $(11,282) $(16,922) $(35,352) $(31,149) $(25,047) $(36,063) ======== ======== ======== ======== ======== ======== ======== Fixed Charges Interest expense $ 142 $ 68 $ 16 $ 4 $ 96 $ 77 $ 5 Assumed interest attributable to rentals 175 177 224 298 367 278 292 -------- -------- -------- -------- -------- -------- -------- Total fixed charges $ 317 $ 245 $ 240 $ 302 $ 463 $ 355 $ 297 ======== ======== ======== ======== ======== ======== ======== Deficiency of earnings available to cover fixed charged -- $(11,527) $(17,162) $(35,654) $(31,612) $(25,402) $(36,360) Ratio of earnings available to cover fixed charges 24.1 -- -- -- -- -- --
For the years ended December 31, 1997, 1998, 1999 and 2000 and the nine- month periods ended September 30, 2000 and 2001, our earnings were insufficient to cover fixed charges for those periods by $11,527, $17,162, $35,654, $31,612, $25,402 and $36,360, respectively. In calculating the ratio of earnings available to cover fixed charges, "earnings" consist of pre-tax income (loss) before adjustments for income from equity investees, plus fixed charges and distributed income from equity investees. Fixed charges consist of interest expense and estimated interest included in rental expense.