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)
(unaudited)

 
 
Nine Months Ended September 30,
 
 
 
 
 
 
  
 
  
 
 
 
2013
 
2012
 
2011
 
2010
 
2009
 
2008
Ratio of Earnings to Fixed Charges
 
 
 
 
 
 
 
 
  
 
  
 
 
 
 
 
 
 
 
 
 
   
 
   
 
Loss before income taxes
 
$
(1,316
)
 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
$
(17,604
)
   
$
(19,244
)
Add: Fixed charges
 
14,929

 
26,741

 
7,814

 
4,344

   
4,999

   
5,559

 
 
 
 
 
 
 
 
 
   
 
   
 
Income (loss) before income taxes and fixed charges
 
$
13,613

 
$
11,849

 
$
(4,488
)
 
$
(5,746
)
   
$
(12,605
)
   
$
(13,685
)
 
 
 
 
 
 
 
 
 
   
 
   
 
Fixed Charges:
 
 
 
 
 
 
 
 
   
 
   
 
Total interest expense
 
$
13,395

 
$
24,541

 
$
6,543

 
$
3,241

   
$
3,977

   
$
4,534

Interest factor in rents (1)
 
1,534

 
2,200

 
1,271

 
1,103

   
1,022

   
1,025

 
 
 
 
 
 
 
 
 
   
 
   
 
Total fixed charges
 
$
14,929

 
$
26,741

 
$
7,814

 
$
4,344

   
$
4,999

   
$
5,559

 
 
 
 
 
 
 
 
 
  
 
  
 
Ratio of earnings to fixed charges
 
 *

 
 *

 
 *

 
 *

  
 *

  
 *

 
 
 
 
 
 
 
 
 
 
 
 
 
* Deficiency of earnings available to cover fixed charges
 
$
(1,316
)
 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
$
(17,604
)
   
$
(19,244
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
  
 
  
 
 
 
 
 
 
 
 
 
 
   
 
   
 
Loss before income taxes
 
$
(1,316
)
 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
$
(17,604
)
   
$
(19,244
)
Add: Fixed charges
 
14,929

 
26,741

 
7,814

 
4,344

   
4,999

   
5,559

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes and fixed charges
 
$
13,613

 
$
11,849

 
$
(4,488
)
 
$
(5,746
)
 
$
(12,605
)
 
$
(13,685
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed Charges:
 
 
 
 
 
 
 
 
 
 
 
 
Total interest expense
 
$
13,395

 
$
24,541

 
$
6,543

 
$
3,241

 
$
3,977

 
$
4,534

Interest factor in rents (1)
 
1,534

 
2,200

 
1,271

 
1,103

 
1,022

 
1,025

Preferred stock dividends (2)
 
6,512

 
—

 
—

 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
 
 
Total fixed charges and preferred stock dividends
 
$
21,441

 
$
26,741

 
$
7,814

 
$
4,344

 
$
4,999

 
$
5,559

 
 
 
 
 
 
 
 
 
  
 
 
 
Ratio of earnings to fixed charges and preferred stock dividends
 
 *

 
 *

 
 *

 
 *

  
 *

 
 *

 
 
 
 
 
 
 
 
 
 
 
 
 
* Deficiency of earnings available to cover fixed charges and preferred stock dividends
 
$
(7,828
)
 
$
(14,892
)
 
$
(12,302
)
 
$
(10,090
)
   
$
(17,604
)
   
$
(19,244
)
(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.