Attached files
file | filename |
---|---|
10-Q - 10-Q - NCO Group, Inc. | a10-12930_110q.htm |
EX-32.1 - EX-32.1 - NCO Group, Inc. | a10-12930_1ex32d1.htm |
EX-31.2 - EX-31.2 - NCO Group, Inc. | a10-12930_1ex31d2.htm |
EX-32.2 - EX-32.2 - NCO Group, Inc. | a10-12930_1ex32d2.htm |
EX-31.1 - EX-31.1 - NCO Group, Inc. | a10-12930_1ex31d1.htm |
Exhibit 12
NCO Group, Inc.
Ratio of Earnings to Fixed Charges
(in thousands, except for ratios)
|
|
For the Three Months Ended |
|
For the Six Months Ended |
|
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|
|
June 30, |
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June 30, |
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|
2010(1)(2) |
|
2009(1)(3) |
|
2010(1)(2) |
|
2009(1)(3) |
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Earnings: |
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|
|
|
|
|
|
|
|
||||
Add: |
|
|
|
|
|
|
|
|
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Loss before income taxes and noncontrolling interest |
|
$ |
(23,454 |
) |
$ |
(8,115 |
) |
$ |
(34,752 |
) |
$ |
(11,940 |
) |
Fixed charges |
|
27,798 |
|
32,305 |
|
57,338 |
|
60,992 |
|
||||
Amortization of capitalized interest |
|
|
|
3 |
|
|
|
6 |
|
||||
|
|
4,344 |
|
24,193 |
|
22,586 |
|
49,058 |
|
||||
Subtract: |
|
|
|
|
|
|
|
|
|
||||
Distributions to noncontrolling interest holders |
|
1,472 |
|
1,970 |
|
2,736 |
|
4,287 |
|
||||
|
|
1,472 |
|
1,970 |
|
2,736 |
|
4,287 |
|
||||
Earnings |
|
$ |
2,872 |
|
$ |
22,223 |
|
$ |
19,850 |
|
$ |
44,771 |
|
|
|
|
|
|
|
|
|
|
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Fixed Charges: |
|
|
|
|
|
|
|
|
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Interest expense |
|
$ |
22,156 |
|
$ |
26,674 |
|
$ |
45,757 |
|
$ |
49,784 |
|
Portion of rentals deemed to be interest |
|
5,642 |
|
5,631 |
|
11,581 |
|
11,208 |
|
||||
|
|
$ |
27,798 |
|
$ |
32,305 |
|
$ |
57,338 |
|
$ |
60,992 |
|
|
|
|
|
|
|
|
|
|
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Ratio of earnings to fixed charges |
|
0.1 |
x |
0.7 |
x |
0.3 |
x |
0.7 |
x |
(1) |
For the three and six months ended June 30, 2010 and 2009, the Companys ratio of earnings to fixed charges indicated a less than one-to-one coverage. The deficiency was a result of earnings that were $24.9 million and $10.1 million less than fixed charges for the three months ended June 30, 2010 and 2009, respectively, and $37.5 million and $16.2 million less than fixed charges for the six months ended June 30, 2010 and 2009, respectively. |
|
|
(2) |
Loss before income taxes and noncontrolling interest includes restructuring charges of $4.9 million and $6.4 million for the three and six months ended June 30, 2010. |
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|
(3) |
Loss before income taxes and noncontrolling interest includes restructuring charges of $1.3 million and $1.8 million for the three and six months ended June 30, 2009. |