EXHIBIT 12 (a)
J. C. Penney Company, Inc.
and Consolidated Subsidiaries
Computation of Ratios of Available Income from Continuing Operations
to Combined Fixed Charges and Preferred Stock Dividend Requirement
($ in Millions) | 53 Weeks Ended 1/31/04 | 52 Weeks Ended 1/25/03 | 52 Weeks Ended 1/26/02 | 52 Weeks Ended 1/27/01 | 52 Weeks Ended 1/29/00 | |||||||||||||||
Income/(loss) from continuing operations (before income taxes, before capitalized interest, but after preferred stock dividend) | $ | 521 | $ | 388 | $ | 243 | $ | (332 | ) | $ | 604 | |||||||||
Fixed charges | ||||||||||||||||||||
Interest (including capitalized interest) on: | ||||||||||||||||||||
Operating leases | 65 | 78 | 74 | 88 | 91 | |||||||||||||||
Short-term debt | 6 | 4 | — | 13 | 137 | |||||||||||||||
Long-term debt | 429 | 403 | 426 | 464 | 538 | |||||||||||||||
Capital leases | — | — | 1 | 3 | — | |||||||||||||||
Other, net | 21 | 22 | 11 | (2 | ) | (7 | ) | |||||||||||||
Less: interest expense of discontinued operations | (164 | ) | (162 | ) | (155 | ) | (214 | ) | (325 | ) | ||||||||||
Total fixed charges | 357 | 345 | 357 | 352 | 434 | |||||||||||||||
Preferred stock dividend, before taxes | 25 | 27 | 29 | 33 | 36 | |||||||||||||||
Combined fixed charges and preferred stock dividend requirement | 382 | 372 | 386 | 385 | 470 | |||||||||||||||
Total available income | $ | 903 | $ | 760 | $ | 629 | $ | 53 | $ | 1,074 | ||||||||||
Ratio of available income to combined fixed charges and preferred stock dividend requirement | 2.4 | 2.0 | 1.6 | 0.1 | 2.3 | |||||||||||||||
* | Total available income from continuing operations (before income taxes and capitalized interest, but after preferred stock dividend) was not sufficient to cover combined fixed charges and preferred stock by $332 million. |