EX-12 2 dex12.htm RATIO OF EARNINGS TO FIXED CHARGES Ratio of Earnings to Fixed Charges

Exhibit 12

 

IMCO RECYCLING INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(in thousands)

 

    

For the three months

ended September 30,

     For the nine months
ended September 30,
  
     2004
     2003
     2004
    2003
  
           Restated          Restated  

Earnings:

                                

Income (loss) before income taxes and minority interest

    $ (99 )   $ (1,119 )   $ 5,282    $ 5,425  

Add: Equity loss (earnings)

      90       64       135      (847 )

Add: Dividends

      —         —         —        —    
    
 
 
  

Sub-total:

      (9 )     (1,055 )     5,417      4,578  
    
 
 
  

Add: Total fixed charges (per below)

      7,257       3,938       21,619      10,956  

Less: Interest capitalized

      60       14       143      122  

Total earnings before income taxes, minority interest, and cumulative effect of accounting change

      7,188       2,869       26,893      15,412  
    
 
 
  

Fixed Charges:

                                

Interest expense, including interest capitalized

      6,703       3,480       20,091      9,641  

Portion of rental expense representative of the interest factor

      554       458       1,528      1,315  
    
 
 
  

Total fixed charges

      7,257       3,938       21,619      10,956  
    
 
 
  

Ratio of Earnings to Fixed Charges

      ( a)     (a )     1.2      1.4  
    
 
 
  
(a) For the three months ended September 30, 2004 and 2003, earnings were insufficient to cover fixed charges by $69 and $1,069.