EXHIBIT 12
Starbucks Corporation
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in thousands, except ratios)
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in thousands, except ratios)
Sept 30, | Oct 1, | Oct 2, | Oct 3, | Sept 28, | ||||||||||||||||
Fiscal year ended | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||||
Earnings (1) | $ | 1,056,364 | $ | 906,243 | $ | 796,347 | $ | 620,634 | $ | 432,472 | ||||||||||
Income from equity investees | (108,006 | ) | (93,937 | ) | (76,648 | ) | (58,978 | ) | (36,903 | ) | ||||||||||
Distributed income from equity investees | 65,927 | 49,238 | 30,919 | 38,328 | 28,966 | |||||||||||||||
Minority interest in subsidiaries | 1,095 | 963 | 521 | 285 | 236 | |||||||||||||||
Amortization of capitalized interest | 355 | 141 | — | — | — | |||||||||||||||
Fixed charges, excluding capitalized interest | 254,474 | 181,811 | 149,114 | 132,344 | 121,211 | |||||||||||||||
Total earnings available for fixed charges | $ | 1,270,209 | $ | 1,044,459 | $ | 900,253 | $ | 732,613 | $ | 545,982 | ||||||||||
Fixed charges: | ||||||||||||||||||||
Interest and debt expense (2) | $ | 42,277 | $ | 11,138 | $ | 1,308 | $ | 370 | $ | 265 | ||||||||||
Interest portion of rental expense | 216,123 | 173,352 | 147,806 | 131,974 | 120,946 | |||||||||||||||
Total fixed charges | $ | 258,400 | $ | 184,490 | $ | 149,114 | $ | 132,344 | $ | 121,211 | ||||||||||
Ratio of earnings to fixed charges | 4.9 | 5.7 | 6.0 | 5.5 | 4.5 | |||||||||||||||
(1) | Earnings represent income from continuing operations before provision for income taxes and cumulative effect of accounting change. | |
(2) | Includes amortization of debt-related expenses and interest capitalized during the period. |