EX-12.1 3 d441533dex121.htm STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Statement re: Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

     Fiscal Year (1)  
     2008     2009     2010     2011     2012  

Income Before Income Taxes and Noncontrolling Interests

   $ 2,012      $ 1,727      $ 2,054      $ 2,383      $ 2,767   

Less: Capitalized Interest

     (16     (8     (11     (9     (10

Add:

          

Portion of Rental Expense under operating leases deemed to be the equivalent of interest

     56        59        62        69        74   

Interest Expense

     118        117        123        125        105   

Amortization of Capitalized Interest

     4        4        4        5        5   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Adjusted Earnings

   $ 2,174      $ 1,899      $ 2,232      $ 2,573      $ 2,941   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Fixed Charges:

          

Interest Expense

     118        117        123        125        105   

Portion of Rental Expense under operating leases deemed to be the equivalent of interest

     56        59        62        69        74   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Total Fixed Charges

   $ 174      $ 176      $ 185      $ 194      $ 179   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Ratio of Earnings to Fixed Charges (2)

     12.49        10.79        12.06        13.26        16.43   

 

(1) Fiscal years 2008, 2009, 2010, 2011 and 2012 refer to the fiscal years ended August 31, 2008, August 30, 2009, August 29, 2010, August 28, 2011 and September 2, 2012, respectively. Fiscal 2012 consisted of 53 weeks.

(2) For purposes of computing the ratios of earnings to fixed charges, “earnings” consist of total company income, including non-controlling interests, before income taxes, plus amortization of capitalized interest and fixed charges and excluding interest capitalized during the year. “Fixed Charges” consist of interest expense (interest incurred on indebtedness, including capitalized interest and amortization of debt expenses) and one-third of the portion of rental expense under operating leases, which is deemed to be the equivalent of interest. The ratios of earnings to fixed charges are calculated as follows:

(earnings before income taxes) + (fixed charges) + (amortization of capitalized interest) – (capitalized interest)

(fixed charges)