EX-12 3 j2510_ex12.htm EX-12 Prepared by MERRILL CORPORATION

Exhibit 12

Paper Warehouse, Inc. and Subsidiaries

Computation of Ratio of Earnings to Fixed Charges

For the Nine Months Ended November 2, 2001 and October 27, 2000

 and For the Five Years Ended February 2, 2001

 

($'s in thousands)

 

Nine Months Ended

 

Fiscal Year Ended

 

Ratio of Earnings to Fixed Charges:

 

November 2,
2001

 

October 27,
2000

 

February 2,
2001

 

January 28,
2000

 

January 29,
1999

 

January 30,
1998

 

January 31,
1997

 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Consolidated net (loss) earnings

 

$(1,458

)

$(104

)

$(434

)

$(4,448

)

$(521

)

$(207

)

$808

 

Extraordinary charge, net

 

-

 

-

 

-

 

-

 

-

 

110

 

-

 

Cumulative effect of accounting change, net

 

-

 

-

 

-

 

108

 

-

 

-

 

-

 

Income taxes

 

(966

)

(53

)

(295

)

(2,970

)

(323

)

22

 

500

 

Total (loss) earnings before extraordinary charge and cumulative effect of accounting change

 

(2,424

)

(157

)

(729

)

(7,310

)

(844

)

(75

)

1,308

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

1,121

 

1,289

 

1,670

 

1,182

 

279

 

860

 

834

 

Interest portion of rental expense

 

2,563

 

2,548

 

3,386

 

3,281

 

2,378

 

1,779

 

1,436

 

Total fixed charges

 

3,684

 

3,837

 

5,056

 

4,463

 

2,657

 

2,639

 

2,270

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings available for fixed charges

 

$1,260

 

$3,680

 

$4,327

 

$(2,847

)

$1,813

 

$2,564

 

$3,578

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings before extraordinary charge and cumulativeeffect of accounting change to fixed charges (1)

 

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1.58

 

 

(1) For the nine months ended November 2, 2001 and October 27, 2000 earnings were not adequate to cover fixed charges by approximately $2.4 million and $157,000, respectively. For the fiscal years ended February 2, 2001, January 28, 2000, January 29, 1999, and January 30, 1998 earnings were not adequate to cover fixed charges by approximately $729,000, $7.3 million, $844,000 and $75,000, respectively.