EX-12.1 3 dex121.htm STATEMENT RE COMPUTATION OF RATIOS Statement Re Computation of Ratios

Exhibit 12.1

AMERICREDIT CORP.

STATEMENT RE COMPUTATION OF RATIOS

(dollars in thousands)

 

     Years Ended June 30,
     2008     2007    2006    2005    2004

COMPUTATION OF EARNINGS:

              

Income before income taxes

    $ (92,179 )   $ 532,067    $ 485,235    $ 452,399    $ 365,116

Fixed charges

      833,382       686,358      425,180      269,146      261,137
                                   
   $ 741,203     $ 1,218,425    $ 910,415    $ 721,545    $ 626,253
                                   

COMPUTATION OF FIXED CHARGES:

              

Fixed charges: (a)

              

Interest expense (b)

    $ 827,219     $ 680,825    $ 419,360    $ 264,276    $ 251,963

Implicit interest in rent

      6,163       5,533      5,820      4,870      9,174
                                   
   $ 833,382     $ 686,358    $ 425,180    $ 269,146    $ 261,137
                                   

RATIO OF EARNINGS TO FIXED CHARGES

      (c )     1.8x      2.1x      2.7x      2.4x
                                   

 

(a) For purposes of such computation, the term “fixed charges” represents interest expense, including amortization of debt issuance costs, and a portion of rentals representative of an implicit interest factor for such rentals.
(b) For the year ended June 30, 2008, interest expense excludes $10.2 million of non-cash amortization of warrants.
(c) As a result of the $212.6 million pre-tax write-off of goodwill, the amount of the coverage deficiency for the year ended June 30, 2008, was approximately $92.2 million.