EX-12 4 c73346exv12.htm EX-12 RATIO OF EARNINGS TO FIXED CHARGES Paper Warehouse, Inc.
 

Exhibit 12

Paper Warehouse, Inc. and Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
For the Nine Months Ended November 1, 2002 and November 2, 2001
and for the Five Years Ended February 1, 2002

                                                               
($'s in thousands)   Nine Months Ended   Fiscal Year Ended
       
 
        November 1,     November 2,     February 1,     February 2,     January 28,     January 29,     January 30,
        2002     2001     2002     2001     2000     1999     1998
       
   
   
   
   
   
   
Ratio of Earnings to Fixed Charges:
                                                            
Earnings:
                                                        
 
Consolidated net (loss) earnings
   $ (975 )        $ (1,458 )   $ (9,801 )   $ (434 )   $ (4,448 )   $ (521 )   $ (207 )
 
Extraordinary charge, net
     —       —       —       —       —       —       110  
 
Cumulative effect of accounting change, net
     —       —       —       —       108       —       —  
 
Income taxes
     —       (966 )     3,733       (295 )     (2,970 )     (323 )     22  
 
  
   
   
   
   
   
   
 
   
Total loss before extraordinary charge and cumulative effect of accounting change
     (975 )     (2,424 )     (6,068 )     (729 )     (7,310 )     (844 )     (75 )
Fixed Charges:
                                                        
 
Interest expense
     1,063       1,121       1,433       1,670       1,182       279       860  
 
Interest portion of rental expense
     2,298       2,563       3,435       3,386       3,281       2,378       1,779  
 
  
   
   
   
   
   
   
 
   
Total fixed charges
     3,361       3,684       4,868       5,056       4,463       2,657       2,639  
Earnings available for fixed charges
   $ 2,386     $ 1,260     $ (1,200 )   $ 4,327     $ (2,847 )   $ 1,813     $ 2,564  
 
  
   
   
   
   
   
   
 
Ratio of earnings before extraordinary charge and cumulative effect of accounting change to fixed charges (1)
     —       —       —       —       —       —       —  
 
  
   
   
   
   
   
   
 

(1)   For the nine months ended November 1, 2002 and November 2, 2001, earnings were not adequate to cover fixed charges by approximately $975,000 and $2.4 million, respectively.
 
    For the fiscal years ended February 1, 2002, February 2, 2001, January 28, 2000, January 29, 1999, and January 30, 1998 earnings were not adequate to cover fixed charges by approximately $6.1 million, $729,000, $7.3 million, $844,000 and $75,000, respectively.

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