EX-12.01 8 w97645exv12w01.htm EXHIBIT 12.01 exv12w01
 

Exhibit 12.01

Computation of
Ratio of Earnings to Fixed Charges

     The table below presents the ratio of earnings to fixed charges, ratio of earnings to combined fixed charges and preferred stock dividends, and the coverage deficiency for the last five fiscal years and the fiscal quarter ended March 31, 2004 (dollar amounts in thousands).

                                                 
    Three    
    Months    
    Ended
March 31,
  Year Ended December 31,
    2004
  2003
  2002
  2001
  2000(1)
  1999
    (in thousands)
Net loss
  $ (18,068 )   $ (53,947 )   $ (59,270 )   $ (60,317 )   $ (38,502 )   $ (26,868 )
Add:
                                               
Fixed charges
    3,669       5,221       1,664       1,650       1,641       1,232  
 
   
 
     
 
     
 
     
 
     
 
     
 
 
Earnings as adjusted
  $ (14,399 )   $ (48,726 )   $ (57,606 )   $ (58,667 )   $ (36,861 )   $ (25,636 )
Fixed charges
                                               
Interest
  $ 1,091     $ 2,807     $ 501     $ 500     $ 504     $ 640  
Amortization of debt issue costs
    215       375                          
Revenue interest expense
    2,335       1,557                          
Portion of rent representative of the interest factor
    28       482       1,163       1,150       1,137       592  
 
   
 
     
 
     
 
     
 
     
 
     
 
 
Total fixed charges
  $ 3,669     $ 5,221     $ 1,664     $ 1,650     $ 1,641     $ 1,232  
 
   
 
     
 
     
 
     
 
     
 
     
 
 
Deficiency of earnings to cover fixed charges
  $ 18,068     $ 53,947     $ 59,270     $ 60,317     $ 38,502     $ 26,868  
 
   
 
     
 
     
 
     
 
     
 
     
 
 

(1)     Net loss excludes the cumulative effect of an accounting change of $8.6 million of contract revenues that were deferred upon adoption of Staff Accounting Bulletin 101.

     For the purposes of computing the ratio of fixed charges, earnings consist of income (loss) before provision for income taxes plus fixed charges. Fixed charges consist of interest charges, amortization of debt issuance costs and that portion of rental expense we believe to be representative of interest, which is deemed to be 33% of operating lease rentals.