Quantum Corporation
Exhibit 12.1
Statement of Computation of Ratio of Earnings to Fixed Charges
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Three Months Ended |
For the year ended March 31, |
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June 29, 2003 |
2003 |
2002 |
2001 |
2000 |
1999 |
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Income (loss) from continuing operations before income taxes |
(6,278) |
(137,173) |
(58,612) |
309,675 |
322,585 |
264,318 |
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Add fixed charges |
6,675 |
26,628 |
27,650 |
23,876 |
24,011 |
23,007 |
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Earnings (as defined) |
397 |
(110,545) |
(30,962) |
333,551 |
346,596 |
287,325 |
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Fixed charges |
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Interest expense |
6,408 |
25,378 |
26,522 |
22,766 |
23,320 |
22,367 |
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Estimated interest component of rent expenses |
267 |
1,250 |
1,128 |
1,110 |
691 |
640 |
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Total fixed charges |
6,675 |
26,628 |
27,650 |
23,876 |
24,011 |
23,007 |
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Ratio of earnings to fixed charges (1) |
Note 1 |
Note 1 |
Note 1 |
14.0 |
14.4 |
12.5 |
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Pro forma ratio of earnings to fixed charges |
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Income (loss) from continuing operations before income taxes |
(6,278) |
(137,173) |
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Add-back interest on 7% convertible subordinated debt |
5,031 |
20,125 |
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Less interest on 4.375% convertible subordinated debt |
(1,750) |
(7,000) |
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Pro forma fixed charges |
3,394 |
13,503 |
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Pro forma earnings (as defined) |
397 |
(110,545) |
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Total fixed charges |
6,675 |
26,628 |
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Add-back interest on 4.375% convertible subordinated debt |
1,750 |
7,000 |
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Less interest on 7% convertible subordinated debt |
(5,031) |
(20,125) |
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Pro forma fixed charges |
3,394 |
13,503 |
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Ratio of earnings to fixed charges |
Note 2 |
Note 2 |
(1) |
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For the purpose of calculating such ratios, "earnings" consist of income from continuing operations before income taxes plus fixed charges and "fixed charges" consist of interest expense (net of capitalized portion), capitalized interest, amortization of debt discount and the portion of rental expense representative of interest expense. Earnings before fixed charges were inadequate to cover total fixed charges by $137.2 million and $58.6 million for the fiscal years ended March 31, 2003 and March 31, 2002, respectively, and by $6.3 million for the three months ended June 29, 2003. |
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(2) |
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The pro forma ratio of earnings to fixed charges gives effect to the issuance of the notes and the use of the net proceeds from the issuance to reduce our 7% convertible subordinated notes. Regulation S-K section 229.503(d) under the Securities Act requires that we include these pro forma ratios. Pro forma earnings before fixed charges were inadequate to cover total pro forma fixed charges by $124.0 million for the fiscal year ended March 31, 2003 and by $3.0 million for the three months ended June 29, 2003. |