EX-99.2 4 stjude093190_ex99-2.htm REVISED COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Exhibit 99.2 to St. Jude Medical, Inc. Form 8-K dated July 22, 2009

Exhibit 99.2

ST. JUDE MEDICAL, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

FISCAL YEAR

 

 

 

2008
(As adjusted)

 

2007
(As adjusted)

 

2006
(As adjusted)

 

2005
(As adjusted)

 

2004

 

EARNINGS

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings before income taxes

 

$

580,768

 

$

710,276

 

$

706,063

 

$

621,046

 

$

537,192

 

 

Plus fixed charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense (1)

 

 

72,554

 

 

72,258

 

 

48,461

 

 

10,386

 

 

4,810

 

Rent interest factor (2)

 

 

9,527

 

 

9,144

 

 

8,190

 

 

7,659

 

 

5,778

 

TOTAL FIXED CHARGES

 

 

82,081

 

 

81,402

 

 

56,651

 

 

18,045

 

 

10,588

 

 

EARNINGS BEFORE INCOME TAXES AND FIXED CHARGES

 

$

662,849

 

$

791,678

 

$

762,714

 

$

639,091

 

$

547,780

 

RATIO OF EARNINGS TO FIXED CHARGES

 

 

8.1

 

 

9.7

 

 

13.5

 

 

35.4

 

 

51.7

 

 

 

(1)

Interest expense consists of interest on indebtedness and amortization of debt issuance costs. Amounts have been adjusted for the impact of adopting Financial Accounting Standards Board Staff Position (FSP) Accounting Principles Board (APB) Opinion No. 14-1, Accounting for Convertible Debt Instruments That May Be Settled in Cash upon Conversion (Including Partial Cash Settlement) (FSP APB No. 14-1).

 

 

(2)

Approximately one-third of rental expense is deemed representative of the interest factor.