EX-12.1 9 ex121102917.htm RATIO OF EARNINGS TO FIXED CHARGES Exhibit


Exhibit 12.1
BROADCOM LIMITED AND BROADCOM CAYMAN L.P.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 
 
Fiscal Year Ended
 
 
October 29, 2017
 
October 30, 2016
 
November 1, 2015
 
November 2, 2014
 
November 3, 2013
 
 
(in millions, except ratio data)

Fixed charges (1):
 
 
 
 
 
 
 
 
 
 
Interest expense
 
$
430

 
$
549

 
$
169

 
$
96

 
$
1

Capitalized interest
 
23

 
17

 
5

 
2

 
—

Amortization of debt issuance costs and accretion of debt discount
 
24

 
36

 
22

 
14

 
1

Portion of rental expense representative of interest (2)
 
84

 
76

 
26

 
14

 
4

Total fixed charges
 
$
561

 
$
678

 
$
222

 
$
126

 
$
6

 
 
 
 
 
 
 
 
 
 
 
Earnings:
 
 
 
 
 
 
 
 
 
 
Income (loss) from continuing operations before income taxes
 
$
1,825

 
$
(1,107
)
 
$
1,467

 
$
342

 
$
568

Fixed charges per above
 
561

 
678

 
222

 
126

 
6

Amortization of capitalized interest
 
1

 
1

 
—

 
—

 
—

Less: capitalized interest
 
(23
)
 
(17
)
 
(5
)
 
(2
)
 
—

Total earnings
 
$
2,364

 
$
(445
)
 
$
1,684

 
$
466

 
$
574

 
 
 
 
 
 
 
 
 
 
 
Deficiency of earnings to fixed charges
 
—

 
$
(1,123
)
 
—

 
—

 
—

 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
4.2

 
—

 
7.6

 
3.7

 
94.4

_______________________________________
 
(1)
For purposes of computing this ratio of earnings to fixed charges, "fixed charges" consist of interest expense on all indebtedness plus amortization of debt issuance costs and accretion of debt discount, capitalized interest and an estimate of interest expense within rental expense. "Earnings" consist of income (loss) from continuing operations before income taxes plus fixed charges and amortization of capitalized interest less capitalized interest.
(2)
The Company uses one-third of rental expense as an estimation of the interest factor on its rental expense.