STARBUCKS CORPORATION EXHIBIT 12 - STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (1) (In thousands, except ratio data) September 29, October 1, October 2, October 3, September 27, 1996 1995 1994 1993 1992 - - -------------------------------------------------------------------------------------- COMPUTATION OF EARNINGS: Earnings before income taxes $ 68,501 $ 43,143 $ 17,754 $ 13,526 $ 7,152 Interest expense 8,739 3,765 3,807 772 612 Amortization of debt expense 682 260 260 43 192 Portion of rents representative of interest factor 20,612 14,713 7,144 3,892 2,300 Less: Capitalized interest (306) (160) (99) ---- ---- - - ----------------------------------------------------------------------------------- Total earnings (as calculated) $ 98,228 $ 61,721 $ 28,866 $ 18,233 $10,256 =================================================================================== COMPUTATION OF FIXED CHARGES: Interest expense $ 8,739 $ 3,765 $3,807 $ 772 $ 612 Amortization of debt expense 682 260 260 43 192 Portion of rents representative of interest factor 20,612 14,713 7,144 3,892 2,300 - - ----------------------------------------------------------------------------------- Total fixed charges $ 30,033 $ 18,738 $11,211 $4,707 $3,104 =================================================================================== Ratio of earnings to fixed charges 3.27x 3.29x 2.57x 3.87x 3.30x ==================================================================================== - - -------------- (1) For purposes of computing the ratio of earnings to fixed charges, earnings include earnings before income taxes, amortization of debt expense, and interest expense, including that portion of rental expense attributable to interest costs. Fixed charges consist of interest expense, including that portion of rental expense attributable to interest costs, and interest capitalized during the period.