EX-12.1 2 aclq217ex121.htm EXHIBIT 12.1 Exhibit
Exhibit 12.1




ALBERTSONS COMPANIES, LLC
Computation of Ratio of Earnings to Fixed Charges
(in millions)
(unaudited)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
28 weeks ended September 9, 2017
 
Fiscal 2016 
 
 
Fiscal 2015 
 
 
Fiscal 2014 
 
 
Fiscal 2013 
 
 
Fiscal 2012 
 
Earnings:
 
 
 
 
 
 
 
 
 
 
 
Pre-tax (loss) income
$(627.4)
 
$(463.6)
 
$(541.8)
 
$(1,378.6)
 
$1,140.5
 
$31.5
Income from unconsolidated affiliate (1)
8.8
 
17.5
 
14.4
 
1.1
 
-  
 
-  
(Loss) income before tax and unconsolidated affiliate
(636.2)
 
(481.1)
 
(556.2)
 
(1,379.7)
 
1,140.5
 
31.5
Plus: fixed charges
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net (2)
485.3
 
1,003.8
 
950.5
 
633.2
 
390.1
 
7.2
Capitalized interest
2.5
 
7.8
 
2.1
 
0.5
 
0.1
 
-  
Portion of rent expense deemed to be interest
149.2
 
268.5
 
260.4
 
125.3
 
101.4
 
18.0
Interest income
3.4
 
3.9
 
7.4
 
1.4
 
1.6
 
0.2
Charges related to guarantee obligations
-  
 
1.6
 
30.6
 
-  
 
-  
 
-  
Total fixed charges
640.4
 
1,285.6
 
1,251.0
 
760.4
 
493.2
 
25.4
Less: capitalized interest
(2.5)
 
(7.8)
 
(2.1)
 
(0.5)
 
(0.1)
 
-  
Earnings:
$1.7
 
$796.7
 
$692.7
 
$(619.8)
 
$1,633.6
 
$56.9
Fixed Charges:
$640.4
 
$1,285.6
 
$1,251.0
 
$760.4
 
$493.2
 
$25.4
Ratio of earnings to fixed charges (3)
-  
 
-  
 
-  
 
-  
 
3.3
 
2.2
(1)
Represents earnings related to the Company’s equity method investment in Casa Ley, S.A. de C.V.
(2)
Interest expense, net does not include interest relating to liabilities for uncertain tax positions, which the Company records as a component of income tax expense.
(3)
Due to the Company’s losses during the 28 weeks ended September 9, 2017, fiscal 2016, fiscal 2015 and fiscal 2014, the ratio coverage was less than 1:1 in each of those periods. The Company would have needed to generate additional earnings of $638.7 million, $488.9 million, $558.3 million and $1,380.2 million during the 28 weeks ended September 9, 2017, fiscal 2016, fiscal 2015 and fiscal 2014, respectively, in order to achieve a coverage ratio of 1:1 during those periods.