Exhibit 12.1
Ratio of Earnings to Fixed Charges
(In millions, except ratios)
| February 27, 2016 (52 weeks) | February 28, 2015 (53 weeks) | February 22, 2014 (52 weeks) | February 23, 2013(1) (52 weeks) | February 25, 2012(2) (52 weeks) | February 26, 2011(3) (52 weeks) | ||||||||||||||||||
| Net earnings (loss) from continuing operations before income taxes | $ | 263 | $ | 185 | $ | 18 | $ | (416 | ) | $ | (138 | ) | $ | (253 | ) | ||||||||
| Less net earnings attributable to noncontrolling interests | (8 | ) | (7 | ) | (7 | ) | (10 | ) | (13 | ) | (7 | ) | |||||||||||
| Net overdistributed earnings of less than fifty percent owned affiliates | 1 | — | 1 | 1 | — | — | |||||||||||||||||
| Fixed charges | 236 | 281 | 444 | 313 | 295 | 279 | |||||||||||||||||
| Amortized capitalized interest | (1 | ) | (1 | ) | (1 | ) | (4 | ) | (6 | ) | (8 | ) | |||||||||||
| Earnings (loss) available to cover fixed charges | $ | 491 | $ | 458 | $ | 455 | $ | (116 | ) | $ | 138 | $ | 11 | ||||||||||
| Interest expense | 196 | 244 | 407 | 272 | 251 | 235 | |||||||||||||||||
| Capitalized interest | 1 | 1 | 1 | 4 | 6 | 8 | |||||||||||||||||
| Interest on operating leases | 39 | 36 | 36 | 37 | 38 | 36 | |||||||||||||||||
| Total fixed charges | $ | 236 | $ | 281 | $ | 444 | $ | 313 | $ | 295 | $ | 279 | |||||||||||
| Excess (deficiency) of earnings to fixed charges | $ | 255 | $ | 177 | $ | 11 | $ | (429 | ) | $ | (157 | ) | $ | (268 | ) | ||||||||
| Ratio of earnings to fixed charges | 2.08 | 1.63 | 1.02 | N/A | N/A | N/A | |||||||||||||||||
N/A represents a ratio of less than one.
| (1) | The Company’s earnings available to cover fixed charges were insufficient to cover fixed charges for fiscal 2013 due to $227 of non-cash asset impairment and other charges before tax, administrative expenses related to divested NAI operations, $36 of severance costs before tax, $22 of store closure charges and costs before tax, $22 of non-cash unamortized financing costs before tax and $6 of non-cash intangible asset impairment charges before tax, offset in part by $10 in a cash settlement received from credit card companies before tax. |
| (2) | The Company’s earnings available to cover fixed charges were insufficient to cover fixed charges for fiscal 2012 due to administrative expenses related to divested NAI operations, $92 of non-cash goodwill impairment charges before tax and severance costs of $15 before tax. |
| (3) | The Company’s earnings available to cover fixed charges were insufficient to cover fixed charges for fiscal 2011 due to administrative expenses related to divested NAI operations, $110 of non-cash goodwill impairment charges before tax, $49 of store closure charges and retail market exit charges and costs before tax and $38 of charges for severance, labor buyout and other costs before tax. |