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Exhibit 12
NIKE, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
| Year Ended May 31, | ||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2001 | 2000 | 1999 | 1998 | 1997 | ||||||||||||
| (in millions) | ||||||||||||||||
Net income | $ | 589.7 | $ | 579.1 | $ | 451.4 | $ | 399.6 | $ | 795.8 | |||||||
Income taxes | 331.7 | 340.1 | 294.7 | 253.4 | 499.4 | ||||||||||||
Income before income taxes | 921.4 | 919.2 | 746.1 | 653.0 | 1,295.2 | ||||||||||||
Add fixed charges | |||||||||||||||||
Interest expense(A) | 67.1 | 49.8 | 51.0 | 66.5 | 55.1 | ||||||||||||
Interest component of leases(B) | 50.7 | 48.5 | 43.2 | 43.2 | 28.0 | ||||||||||||
Total fixed charges | 117.8 | 98.3 | 94.2 | 109.7 | 83.1 | ||||||||||||
Earnings before income taxes and fixed charges(C) | $ | 1,030.8 | $ | 1,012.7 | $ | 833.4 | $ | 756.2 | $ | 1,375.5 | |||||||
Ratio of earnings to total fixed charges | 8.75 | 10.30 | 8.85 | 6.89 | 16.55 | ||||||||||||
- (A)
- Interest expense includes interest both expensed and capitalized.
- (B)
- Interest component of leases includes one-third of rental expense, which approximates the interest component of operating leases.
- (C)
- Earnings before income taxes and fixed charges is exclusive of capitalized interest.
NIKE, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES