Avago Technologies Finance Pte. Ltd. - FORM 10-K - EX-12.1 - COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - December 15, 2009

Attached files

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10-K - FORM 10-K - Avago Technologies Finance Pte. Ltd.d10k.htm
EX-31.2 - CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER PURSUANT TO RULE 13A-14 - Avago Technologies Finance Pte. Ltd.dex312.htm
EX-32.1 - CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT TO 18 U.S.C. SECTION 1350 - Avago Technologies Finance Pte. Ltd.dex321.htm
EX-21.1 - LIST OF SUBSIDIARIES - Avago Technologies Finance Pte. Ltd.dex211.htm
EX-31.1 - CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT TO RULE 13A-14 - Avago Technologies Finance Pte. Ltd.dex311.htm
EX-32.2 - CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER PURSUANT TO 18 U.S.C. SECTION 1350 - Avago Technologies Finance Pte. Ltd.dex322.htm

Exhibit 12.1

Computation of Ration of Earnings to Fixed Charges

(In millions, except ratio data)

 

    Predecessor     Company  
    October 31,
2005		   One Month Ended
November 30, 2005		     Year Ended  
        October 31,
2006		     October 31,
2007		     November 2,
2008		   November 1,
2009		  

Fixed charges (1)

            

Interest expense

   $ —     $ —        $ 121      $ 105      $ 82   $ 73   

Amortization of debt issuance costs and

     —       —          22        4        4     4   

Portion of rental expense representative of interest (2)

     6     1        4        3        4     4   
                                           

Total fixed charges

   $ 6   $ 1           $ 147      $ 112      $ 90   $ 81   
 

Earnings

            

Income (loss) from continuing operations

   $ 14   $ (23 )    $ (225 )    $ (212 )    $ 60   $ (36 ) 

before income taxes

            

Fixed charges per above

     6     1        147        112        90     81   
                                           

Total earnings

   $ 20   $ (22 )    $ (78 )    $ (100 )    $ 150   $ 45   
 

Deficiency of earnings to fixed charges

   $ —     $ (23 )    $ (225 )    $ (212 )    $ —     $ (36 ) 
 

Ratio of earnings to fixed charges (3)

     3.3     —          —          —          1.7     —     

 

(1) For purposes of computing this ratio of earnings to fixed charges, “fixed charges” consist of interest expense on all indebtedness plus amortization of debt issuance costs and an estimate of interest expense within rental expense. “Earnings” consist of pre-tax income (loss) from continuing operations plus fixed charges.
(2) The Company uses one-third of rental expense as an estimation of the interest factor on its rental expense.
(3) Earnings were insufficient to cover fixed charges by $23 million, $225 million, $212 million, and $36 million for the one month ended November 30, 2005, the years ended October 31, 2006, October 31, 2007 and November 1, 2009, respectively.

Avago Technologies Finance Pte. Ltd. Reports

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