Avago Technologies LTD - FORM 10-K - EX-12.1 - COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - December 15, 2009

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10-K - FORM 10-K - Avago Technologies LTDd10k.htm
EX-31.1 - CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT TO RULE 13A-14 - Avago Technologies LTDdex311.htm
EX-23.1 - CONSENT OF PRICEWATERHOUSECOOPERS LLP - Avago Technologies LTDdex231.htm
EX-21.1 - LIST OF SUBSIDIARIES - Avago Technologies LTDdex211.htm
EX-32.1 - CERTIFICATION OF PRINCIPAL EXECUTIVE OFFICER PURSUANT TO 18 U.S.C. SECTION 1350 - Avago Technologies LTDdex321.htm
EX-31.2 - CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER PURSUANT TO RULE 13A-14 - Avago Technologies LTDdex312.htm
EX-32.2 - CERTIFICATION OF PRINCIPAL FINANCIAL OFFICER PURSUANT TO 18 U.S.C SECTION 1350 - Avago Technologies LTDdex322.htm
EX-10.65 - SEPARATION AGREEMENT, DATED OCTOBER 9, 2009 - Avago Technologies LTDdex1065.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 before income taxes

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

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 indebtednes 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.

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