EX-12.1 9 d76554_ex12-1.htm STATEMENT RE: COMPUTATION OF RATIOS

 

REMINGTON ARMS COMPANY AND SUBSIDIARIES

Statement Re: Computation of Ratio of Earnings to Fixed Charges

(Dollars in Millions)

 

 

 

 

 

 

Successor

 

 

Predecessor

 

 

 

 

 

 

 

Predecessor

 

 

 

 

 

 

2008

 

 

Jun 1-Dec 31
2007

 

 

Jan 1-May 31 2007

 

Combined
2007

 

 

2006

 

 

2005

 

 

2004

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net Income (Loss) from Continuing Operations

 

$

(39.4

)

 

$

(10.5

)

 

$

9.0

 

$

(1.5

)

 

$

1.4

 

 

$

(16.8

)

 

$

(17.7

)

Add:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income Taxes (Benefit) on Continuing Operations

 

 

2.3

 

 

 

(5.9

)

 

 

1.3

 

 

(4.6

)

 

 

0.9

 

 

 

0.4

 

 

 

14.0

 

Interest Expense (a)

 

 

24.6

 

 

 

14.6

 

 

 

10.9

 

 

25.5

 

 

 

28.0

 

 

 

26.4

 

 

 

24.6

 

Portion of Rents

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Representative of

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Factor

 

 

0.5

 

 

 

0.3

 

 

 

0.2

 

 

0.5

 

 

 

0.5

 

 

 

0.6

 

 

 

0.6

 

 

 

$

(12.0

)

 

$

(1.5

)

 

$

21.4

 

$

19.9

 

 

$

30.8

 

 

$

10.6

 

 

$

21.5

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Expense (a)

 

$

24.6

 

 

$

14.6

 

 

$

10.9

 

$

25.5

 

 

$

28.0

 

 

$

26.4

 

 

$

24.6

 

Capitalized Interest

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Portion of Rents

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Representative of

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Factor

 

 

0.5

 

 

 

0.3

 

 

 

0.2

 

 

0.5

 

 

 

0.5

 

 

 

0.6

 

 

 

0.6

 

 

 

$

25.1

 

 

$

14.9

 

 

$

11.1

 

$

26.0

 

 

$

28.5

 

 

$

27.0

 

 

$

25.2

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of Earnings to

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges

 

 

(b)

 

 

 

(c)

 

 

 

1.9

x

 

0.8

x

 

 

1.1

x

 

 

(d)

 

 

 

(e)

 

 

 

(a)

Includes amortization of discount on indebtedness and excludes capitalized interest.

(b)

Due to our net loss in 2008, this ratio was less than 1:1. Additional earnings of $37.1 million would have been required to achieve a ratio of 1:1.

(c)

Due to our net loss in the successor period of 2007, this ratio was less than 1:1. Additional earnings of $16.3 million would have been required to achieve a ratio of 1:1.

(d)

Due to our net loss in 2005, this ratio was less than 1:1. Additional earnings of $16.4 million would have been required to achieve a ratio of 1:1.

(e)

Due to our net loss in 2004, this ratio was less than 1:1. Additional earnings of $3.7 million would have been required to achieve a ratio of 1:1.