EX-12.1 4 d364759dex121.htm STATEMENT OF COMPUTATION OF RATIOS Statement of Computation of Ratios

EXHIBIT 12.1

SAKS INCORPORATED

STATEMENT OF COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND RATIOS

OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

The following table sets forth the ratios of earnings to fixed charges for Saks Incorporated for the three months ended April 28, 2012 and each of the fiscal years ended January 28, 2012, January 29, 2011, January 30, 2010, January 31, 2009 and February 2, 2008:

 

(Dollars in thousands)

    Three Months     Fiscal Year Ended  
   Ended
April 28, 2012		     January 28,
2012		     January 29,
2011		     January 30,
2010		     January 31,
2009		     February 2,
2008		  

Earnings:

             

Pre-tax income (loss) from continuing operations

    $ 56,312      $ 101,884      $ 33,486      $ (102,163 )    $ (175,527 )    $ 73,851   

Fixed charges

      18,463        82,131        90,279        84,157        83,726        86,386   

Amortization of capitalized interest

      507        2,022        2,003        1,864        1,870        1,715   

Capitalized interest

      (336 )      (955 )      (720 )      (758 )      (1,527 )      (2,086 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Earnings

    $ 74,946      $ 185,082      $ 125,048      $ (16,900 )    $ (91,458 )    $ 159,866   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed Charges:

             

Interest costs(1)

    $ 5,545      $ 32,710      $ 41,793      $ 38,511      $ 37,747      $ 41,064   

Amortization of debt expense and discount on indebtedness

      4,198        16,360        15,652        11,727        9,519        9,325   

Implied interest component of rent expense(2)

      8,720        33,061        32,834        33,919        36,460        35,997   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Fixed Charges

    $ 18,463      $ 82,131      $ 90,279      $ 84,157      $ 83,726      $ 86,386   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of earnings to fixed charges

      4.06x        2.25x        1.39x        (3 )      (3 )      1.85x   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) Interest costs represent interest expensed and capitalized excluding losses on early extinguishment of debt.
(2) One-third of rent expense was determined to be a reasonable approximation of the implied interest component of rent expense.
(3) For the years ending January 30, 2010 and January 31, 2009, earnings were insufficient to cover fixed charges by $101.1 million and $175.2 million, respectively.

For the periods indicated above, we had no outstanding shares of preferred stock. Therefore, the ratios of earnings to combined fixed charges and preferred stock dividends are identical to the ratios presented above for all such periods.