Exhibit 12.1
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in millions, except ratio data)
| Fiscal Year Ended | Six Months Ended | |||||||||||||||||||||||
| November 3, 2013 | November 2, 2014 | November 1, 2015 | October 30, 2016 | October 29, 2017 | May 6, 2018 | |||||||||||||||||||
Fixed charges (1): | ||||||||||||||||||||||||
Interest expense | $ | 1 | $ | 96 | $ | 169 | $ | 549 | $ | 430 | $ | 319 | ||||||||||||
Capitalized interest | — | 2 | 5 | 17 | 23 | 1 | ||||||||||||||||||
Amortization of debt issuance costs and accretion of debt discount | 1 | 14 | 22 | 36 | 24 | 12 | ||||||||||||||||||
Portion of rental expense representative of interest (2) | 4 | 14 | 26 | 76 | 84 | 42 | ||||||||||||||||||
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Total fixed charges | $ | 6 | $ | 126 | $ | 222 | $ | 678 | $ | 561 | $ | 374 | ||||||||||||
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Earnings: | ||||||||||||||||||||||||
Income (loss) from continuing operations before income taxes | $ | 568 | $ | 342 | $ | 1,467 | $ | (1,107 | ) | $ | 1,825 | $ | 1,894 | |||||||||||
Fixed charges per above | 6 | 126 | 222 | 678 | 561 | 374 | ||||||||||||||||||
Amortization of capitalized interest | — | — | — | 1 | 1 | — | ||||||||||||||||||
Less: capitalized interest | — | (2 | ) | (5 | ) | (17 | ) | (23 | ) | (1 | ) | |||||||||||||
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Total earnings | $ | 574 | $ | 466 | $ | 1,684 | $ | (445 | ) | $ | 2,364 | $ | 2,267 | |||||||||||
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Deficiency of earnings to fixed charges | $ | — | $ | — | $ | — | $ | (1,123 | ) | $ | — | — | ||||||||||||
Ratio of earnings to fixed charges | 94.4 | 3.7 | 7.6 | — | 4.2 | 6.1 | ||||||||||||||||||
| (1) | For purposes of computing this ratio of earnings to fixed charges, “fixed charges” consist of interest expense on all indebtedness plus interest capitalized, amortization of debt issuance costs and accretion of debt discount and an estimate of interest expense within rental expense. “Earnings” consist ofpre-tax income (loss) from continuing operations plus fixed charges. |
| (2) | The Company usesone-third of rental expense as a reasonable approximation of the interest factor on its rental expense. |
