EXHIBIT 12.1
FEDEX CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(UNAUDITED)
(IN MILLIONS, EXCEPT RATIOS)
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| Nine Months Ended |
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| February 28, |
| February 29, |
| Year Ended May 31, |
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2004 |
| 2003 |
| 2002 |
| 2001 |
| 2000 |
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Earnings: |
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Income before income taxes |
| $ | 1,602 |
| $ | 676 |
| $ | 1,319 |
| $ | 1,338 |
| $ | 1,160 |
| $ | 927 |
| $ | 1,138 |
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Add back: |
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Interest expense, net of capitalized interest |
| 126 |
| 93 |
| 136 |
| 124 |
| 144 |
| 155 |
| 121 |
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Amortization of debt issuance costs |
| 5 |
| 3 |
| 7 |
| 4 |
| 4 |
| 2 |
| 1 |
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Portion of rent expense representative of interest factor |
| 601 |
| 532 |
| 712 |
| 713 |
| 710 |
| 667 |
| 625 |
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Earnings as adjusted |
| $ | 2,334 |
| $ | 1,304 |
| $ | 2,174 |
| $ | 2,179 |
| $ | 2,018 |
| $ | 1,751 |
| $ | 1,885 |
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Fixed Charges: |
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Interest expense, net of capitalized interest |
| $ | 126 |
| $ | 93 |
| $ | 136 |
| $ | 124 |
| $ | 144 |
| $ | 155 |
| $ | 121 |
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Capitalized interest |
| 14 |
| 8 |
| 11 |
| 16 |
| 27 |
| 27 |
| 35 |
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Amortization of debt issuance costs |
| 5 |
| 3 |
| 7 |
| 4 |
| 4 |
| 2 |
| 1 |
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Portion of rent expense representative of interest factor |
| 601 |
| 532 |
| 712 |
| 713 |
| 710 |
| 667 |
| 625 |
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| $ | 746 |
| $ | 636 |
| $ | 866 |
| $ | 857 |
| $ | 885 |
| $ | 851 |
| $ | 782 |
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Ratio of Earnings to Fixed Charges |
| 3.1 |
| 2.1 |
| 2.5 |
| 2.5 |
| 2.3 |
| 2.1 |
| 2.4 |
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