EX-12 7 exhibit12.htm

Exhibit 12.1

 

YUM! Brands, Inc.

Ratio of Earnings to Fixed Charges Years Ended 2005-2001

(in millions except ratio amounts)

 

 

 

53
Weeks

 


52 Weeks

 

 

2005

 

2004

 

 

2003

 

 

2002

 

 

2001

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pretax income from continuing operations before cumulative effect of accounting changes

 

$

1,026

 

 

$

1,026

 

 

 

$

886

 

 

 

$

858

 

 

 

$

733

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

50% or less owned Affiliates’ interests, net

 

 

(8

)

 

 

2

 

 

 

 

1

 

 

 

 

(7

)

 

 

 

   (7

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

 

148

 

 

 

145

 

 

 

 

185

 

 

 

 

180

 

 

 

 

172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest portion of net rent expense

 

 

179

 

 

 

164

 

 

 

 

147

 

 

 

 

111

 

 

 

 

93

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings available for fixed charges

 

$

1,345

 

 

$

1,337

 

 

 

$

1,219

 

 

 

$

1,142

 

 

 

$

991

 


Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

$

148

 

 

$

146

 

 

 

$

185

 

 

 

$

180

 

 

 

$

172

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest portion of net rent expense

 

 

179

 

 

 

164

 

 

 

 

147

 

 

 

 

111

 

 

 

 

93

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total fixed charges

 

$

327

 

 

$

310

 

 

 

$

332

 

 

 

$

291

 

 

 

$

265

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 


Ratio of earnings to fixed charges(a)

 

 

4.11

 

 

 

4.31

 

 

 

 

3.67

 

 

 

 

3.92

 

 

 

 

3.74

 

 

(a)

Included the impact of Wrench litigation income of $2 million in 2005 and $14 million in 2004 and expense of $42 million in 2003 and AmeriServe and other credits of $2 million in 2005, $16 million in 2004, $26 million in 2003, $27 million in 2002 and $3 million in 2001. Excluding the impact of the Wrench litigation expense and AmeriServe and other credits, the ratio of earnings to fixed charges would have been 4.10, 4.22, 3.72, 3.83, and 3.73 for the fiscal years ended 2005, 2004, 2003, 2002, and 2001, respectively.