Starbucks (SBUX) 10-K 2016 FY Annual report

EXHIBIT 12

Starbucks Corporation

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(in millions, except ratios)

	Oct 2, 2016			Sep 27, 2015			Sep 28, 2014			Sep 29, 2013			Sep 30, 2012
Fiscal year ended
Earnings/(loss)(1)	$	4,198.6		$	3,903.0		$	3,159.7		$	(229.9	)	$	2,059.1
Income from equity investees	(318.2		)	(249.9		)	(268.3		)	(251.4		)	(210.7		)
Distributed income from equity investees	223.3			148.2			139.2			115.6			86.7
Amortization of capitalized interest	4.4			4.1			3.6			2.6			2.2
Fixed charges, excluding capitalized interest	366.2			326.5			310.1			237.7			224.5
Total earnings/(loss) available for fixed charges	$	4,474.3		$	4,131.9		$	3,344.3		$	(125.4	)	$	2,161.8
Fixed charges:
Interest and debt expense(2)	$	82.2		$	74.2		$	70.2		$	38.5		$	35.9
Interest portion of rental expense	285.0			256.0			246.0			209.6			191.8
Total fixed charges	$	367.2		$	330.2		$	316.2		$	248.1		$	227.7
Ratio of earnings to fixed charges(3)	12.2			12.5			10.6			—			9.5

⁽¹⁾ Earnings/(loss) represents income/(loss) from continuing operations before income taxes.

⁽²⁾ Includes amortization of debt-related expenses and interest capitalized during the period. Excludes interest on uncertain tax positions, which is recorded in income tax expense/(benefit) in the consolidated statements of earnings.

⁽³⁾ For the fiscal year ended September 29, 2013, our earnings were insufficient to cover fixed charges by $373.5 million.