EX-12.1 3 h21443ex12-1.htm COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES ex12-1
 

Exhibit 12.1

Stone Energy Corporation
Computation of Ratio of Earnings to Fixed Charges

                                                         
    Nine Months Ended        
    September 30,     Year Ended December 31,  
    2004     2003     2003     2002     2001     2000     1999  
                    (amounts in thousands of dollars)  
Net income (loss)
   $ 97,241     $ 107,252     $ 134,470     $ 55,399       ($71,375 )   $ 126,457     $ 37,066  
Income tax provision
     52,361       57,086       71,747       29,830       (36,397 )     68,092       17,713  
 
                                          
Earnings (loss) subtotal
     149,602       164,338       206,217       85,229       (107,772 )     194,549       54,779  
 
                                                        
Cumulative effect of accounting change
     —       (1,225 )     (1,225 )     —       —       —       —  
 
                                                        
Fixed charges included in earnings:
                                                        
Interest expense
     11,987       15,448       19,132       23,111       4,895       9,395       15,186  
Amortization of debt-related expenses
     508       559       743       739       127       107       80  
Interest portion of rentals
     251       276       355       285       406       304       247  
 
                                          
Fixed charges subtotal
     12,746       16,283       20,230       24,135       5,428       9,806       15,513  
 
                                          
 
                                                        
Earnings (loss) before fixed charges
     162,348       179,396       225,222       109,364       (102,344 )     204,355       70,292  
 
                                          
 
                                                        
Fixed charges:
                                                        
Fixed charges included in earnings
     12,746       16,283       20,230       24,135       5,428       9,806       15,513  
Capitalized interest
     4,968       6,726       8,577       8,519       6,000       4,027       2,300  
 
                                          
Total fixed charges
     17,714       23,009       28,807       32,654       11,428       13,833       17,813  
 
                                          
 
                                                        
Ratio of earnings to fixed charges
     9.2x       7.8x       7.8x       3.3x       (1 )     14.8x       3.9x  
 
                                          

(1)   As a result of low gas prices in 2001, we recorded a $237,741 pre-tax ceiling test write-down in accordance with the full cost method of accounting for oil and gas properties. The write-down resulted in earnings to fixed charges deficiency in the amount of $113,772 for the year ended December 31, 2001.