EXHIBIT 12.1
Ladenburg Thalmann Financial Services Inc.
Ratio of Earnings to Fixed Charges
and Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
(dollars in thousands, except ratios)


 
 
Year Ended December 31,
 
 
 
2014
 
2013
 
2012
 
2011
 
2010
 
Ratio of Earnings to Fixed Charges
 
 
 
 
 
 
 
 
 
 
  
 
 
 
 
 
 
 
 
 
 
 
   
Income (loss) before income taxes
 
$
10,006

 
$
2,404

 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
Add: Fixed charges
 
9,337

 
17,534

 
26,741

 
7,814

 
4,344

   
 
 
 
 
 
 
 
 
 
 
 
   
Income (loss) before income taxes and fixed charges
 
$
19,343

 
$
19,938

 
$
11,849

 
$
(4,488
)
 
$
(5,746
)
   
 
 
 
 
 
 
 
 
 
 
 
   
Fixed Charges:
 
 
 
 
 
 
 
 
 
 
   
Total interest expense
 
$
6,990

 
$
15,438

 
$
24,541

 
$
6,543

 
$
3,241

   
Interest factor in rents (1)
 
2,347

 
2,096

 
2,200

 
1,271

 
1,103

   
 
 
 
 
 
 
 
 
 
 
 
   
Total fixed charges
 
$
9,337

 
$
17,534

 
$
26,741

 
$
7,814

 
$
4,344

   
 
 
 
 
 
 
 
 
 
 
 
  
Ratio of earnings to fixed charges
 
2.1

 
1.1

 
 *

 
 *

 
 *

  
 
 
 
 
 
 
 
 
 
 
 
 
* Deficiency of earnings available to cover fixed charges
 
$
—

 
$
—

 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
  
 
 
 
 
 
 
 
 
 
 
 
   
Income (loss) before income taxes
 
$
10,006

 
$
2,404

 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
Add: Fixed charges
 
9,337

 
17,534

 
26,741

 
7,814

 
4,344

   
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes and combined fixed charges
 
$
19,343

 
$
19,938

 
$
11,849

 
$
(4,488
)
 
$
(5,746
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed Charges:
 
 
 
 
 
 
 
 
 
 
 
Total interest expense
 
$
6,990

 
$
15,438

 
$
24,541

 
$
6,543

 
$
3,241

 
Interest factor in rents (1)
 
2,347

 
2,096

 
2,200

 
1,271

 
1,103

 
Preferred stock dividends (2)
 
28,740

 
11,518

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
Total combined fixed charges and preferred stock dividends
 
$
38,077

 
$
29,052

 
$
26,741

 
$
7,814

 
$
4,344

 
 
 
 
 
 
 
 
 
 
 
 
  
Ratio of earnings to combined fixed charges and preferred stock dividends
 
 *

 
 *

 
 *

 
 *

 
 *

  
 
 
 
 
 
 
 
 
 
 
 
 
* Deficiency of earnings available to cover fixed charges and preferred stock dividends
 
$
(18,734
)
 
$
(9,114
)
 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
(1) One-third of rent expense is the portion deemed representative of the interest factor.
(2) The preferred stock dividend amounts represent pre-tax earnings required to cover dividends on preferred stock.