EX-12.1 3 dex121.htm STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHANGES Statement of Computation of Ratio of Earnings to Fixed Changes

Exhibit 12.1

CHELSEA THERAPEUTICS INTERNATIONAL, LTD

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Amounts in thousands)

 

           Nine Months
Ended
September 30,
2010		  
     For the Years Ended December 31,    
     2005     2006     2007     2008     2009    

Earnings:

             

Loss before income taxes

    $ (7,916 )    $ (8,671 )    $ (15,081 )    $ (35,086 )    $ (25,772 )    $ (24,943 ) 

Plus: Fixed charges

      18        19        20        66        239        119   

Less: Capitalized interest

      —          —          —          —          —          —     
                                                

Earnings as adjusted

      (7,898 )      (8,652 )      (15,061 )      (35,020 )      (25,533 )      (24,824 ) 
                                                

Fixed charges:

             

Interest expense

      —          —          —          5        149        70   

Amortization of debt issuance costs

      —          —          —          —          —          —     

Interest portion of rental expense

      18        19        20        61        90        49   
                                                

Total fixed charges

    $ 18      $ 19      $ 20      $ 66      $ 239      $ 119   
                                                

Ratio of earnings to fixed charges (1)

      —          —          —          —          —          —     
                                                

Deficiency of earnings available to cover fixed charges (2)

    $ (7,916 )    $ (8,671 )    $ (15,081 )    $ (35,086 )    $ (25,772 )    $ (24,943 ) 
                                                

 

(1) Because we had no earnings in each period, it is not possible to calculate the ratio of combined fixed charges and preference dividends to earnings.

 

(2) For purposes of this calculation, “earnings” consist of income (loss) before income taxes and fixed charges. “Fixed charges” consist of interest, amortization of debt issuance costs, preferred stock dividends and the component of rental expense believed by management to be representative of the interest factor for those amounts.