EX-12 2 c93565exv12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12
 

The May Department Stores Company      37

Exhibit 12

The May Department Stores Company and Subsidiaries

Computation of Ratio of Earnings to Fixed Charges for the Five Fiscal Years Ended January 29, 2005

                                                 
    Jan. 29,       Jan. 31,       Feb. 1,       Feb. 2,       Feb. 3,  
(dollars in millions) Fiscal Year Ended   2005       2004       2003       2002       2001  
                         
Earnings available for fixed charges:
                                                
Pretax earnings
   $ 803       $ 639       $ 820       $ 1,139       $ 1,402  
Fixed charges (excluding interest capitalized and pretax preferred stock dividend requirements)
     433         367         405         411         406  
Dividends on ESOP preference shares
     (16 )       (18 )       (20 )       (22 )       (23 )
Capitalized interest amortization
     10         10         9         8         8  
                         
 
     1,230         998         1,214         1,536         1,793  
                         
Fixed charges:
                                                
Gross interest expense(a)
   $ 403       $ 345       $ 392       $ 401       $ 395  
Interest factor attributable to rent expense
     38         38         36         32         28  
                         
 
     441         383         428         433         423  
                         
Ratio of earnings to fixed charges
     2.8         2.6         2.8         3.5         4.2  
                         

(a) Represents interest expense on long-term and short-term debt, ESOP debt, and amortization of debt discount and debt issue expense.