EX-12 3 d96211a1exv12.txt COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES EXHIBIT 12 FLEMING COMPANIES, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
FISCAL YEAR ENDED THE LAST SATURDAY IN DECEMBER 16 WEEKS ENDED 1997 1998 1999 2000 2001 APRIL 21, 2001 APRIL 20, 2002 --------- ---------- --------- ---------- --------- -------------- -------------- (IN THOUSANDS OF DOLLARS) Earnings: Pretax income $ 82,685 $ (598,202) $ (62,581) $ (200,889) $ 62,799 $ 27,209 $ 24,609 Fixed charges, net 197,923 195,956 193,263 198,413 184,166 62,290 57,132 --------- ---------- --------- ---------- --------- -------- -------- Total earnings $ 280,608 $ (402,246) $ 130,682 $ (2,476) $ 246,965 $ 89,499 $ 81,741 Fixed charges: Interest expense $ 162,506 $ 161,581 $ 165,180 $ 174,569 $ 165,534 $ 57,502 $ 50,413 Portion of rental charges deemed to be interest 35,050 33,948 27,626 23,331 18,134 4,604 6,282 Capitalized interest and debt issuance cost amortization 1,186 604 1,117 2,051 7,950 409 2,990 --------- ---------- --------- ---------- --------- -------- -------- Total fixed charges $ 198,742 $ 196,133 $ 193,923 $ 199,951 $ 191,618 $ 62,515 $ 59,685 Deficiency $ 598,379 $ 63,241 $ 202,427 -- -- -- Ratio of earnings to fixed charges 1.41 (2.05) 0.67 (0.01) 1.29 1.43 1.37
"Earnings" consist of income from continuing operations before income taxes and fixed charges excluding capitalized interest. Capitalized interest amortized during the respective periods is added back to earnings. "Fixed charges, net" consist of interest expense, an estimated amount of rental expense which is deemed to be representative of the interest factor and amortization of capitalized interest and debt issuance cost. The pro forma ratio of earnings to fixed charges is omitted as it is not applicable. Under the company's long-term debt agreements, "earnings" and "fixed charges" are defined differently and amounts and ratios differ accordingly. RESULTS EXCLUDING STRATEGIC PLAN ADJUSTMENTS AND ONE-TIME ITEMS ARE AS FOLLOWS:
FISCAL YEAR ENDED THE LAST SATURDAY IN DECEMBER 1999 2000 2001 -------- -------- -------- (IN THOUSANDS OF DOLLARS) Total adjusted earnings $261,757 $306,279 $341,071 Total fixed charges $193,923 $199,951 $191,618 Adjusted ratio of earnings to fixed charges 1.35 1.53 1.78