CD RADIO INC. CALCULATION OF EARNINGS TO FIXED CHARGES
THREE MONTHS ENDED YEARS ENDED DECEMBER 31, MARCH 31, -------------------------------------------------- -------------------- 1994 1995 1996 1997 1998 1998 1999 ($ IN THOUSANDS) Earnings: Pretax loss from continuing operations $(4,065) $(2,107) $ (2,831) $(4,737) $(46,101) $(5,838) $(10,444) Add: Interest and other financial charges expensed 40 20 13 1,946 14,272 5,823 1,433 Interest factor attributable to rentals 40 50 66 92 647 54 458 ------- ------- -------- ------- -------------------- -------- Earnings, as adjusted, from continuing operations $(3,985) $(2,038) $ (2,752) $(2,699) $(31,182) $ 39 $(8,553) ------- ------- -------- ------- -------------------- -------- ------- ------- -------- ------- -------------------- -------- Fixed charges: Interest and other financial charges expensed $ 40 $ 20 $ 13 $ 1,946 $ 14,272 $ 5,823 $ 1,433 Interest capitalized - - - 23 16,243 277 10,127 Interest factor attributable to rentals 40 50 66 92 647 54 458 ------- ------- -------- ------- -------------------- -------- Total fixed charges $ 80 $ 70 $ 79 $ 2,061 $ 31,162 $ 6,154 $12,018 ------- ------- -------- ------- -------------------- -------- ------- ------- -------- ------- -------------------- -------- Ratio of earnings to fixed charges (1) - - - - - - - Deficiency of earnings to fixed charges $ 4,065 $ 2,107 $ 2,831 $ 4,760 $ 62,344 $ 6,115 $20,571
(1) The ratio of earnings to fixed charges was less than 1.00 for all periods presented and thus earnings available for fixed charges were inadequate to cover fixed charges for these periods.