EX-12.1 2 tsn2014q3exh-121.htm RATIO OF EARNINGS TO FIXED CHARGES
EXHIBIT 12.1
Ratio of Earnings to Fixed Charges

|  |  |  |  |  |  |  |  |  | (dollars in millions) |
|  | Nine |  |  |  |  |  |  |  |  |  |
|  | Months |  |  |  |  |  |  |  |  |  |
|  | Ending |  | Fiscal Years
|  | June 28, 2014 |  | 2013 |  | 2012 |  | 2011 |  | 2010 |  | 2009
Earnings: |  |  |  |  |  |  |  |  |  |  |  |
Income (loss) from continuing operations before income taxes and equity method investment earnings |  | $ | 1,027 |  |  | $ | 1,254 |  |  | $ | 949 |  |  | $ | 1,066 |  |  | $ | 1,224 |  |  | $ | (541 | )
Add: Fixed charges |  | 136 |  |  | 219 |  |  | 264 |  |  | 305 |  |  | 360 |  |  | 388 |
Add: Amortization of capitalized interest |  | 4 |  |  | 5 |  |  | 5 |  |  | 4 |  |  | 3 |  |  | 4 |
Less: Capitalized interest |  | (7 | ) |  | (8 | ) |  | (10 | ) |  | (9 | ) |  | (11 | ) |  | (3 | )
Total adjusted earnings |  | 1,160 |  |  | 1,470 |  |  | 1,208 |  |  | 1,366 |  |  | 1,576 |  |  | (152 | )
Fixed Charges: |  |  |  |  |  |  |  |  |  |  |  |
Interest |  | 73 |  |  | 116 |  |  | 150 |  |  | 191 |  |  | 240 |  |  | 289 |
Capitalized interest |  | 7 |  |  | 8 |  |  | 10 |  |  | 9 |  |  | 11 |  |  | 3 |
Amortization of debt discount expense |  | 5 |  |  | 28 |  |  | 39 |  |  | 44 |  |  | 46 |  |  | 38 |
Rentals at computed interest factor (1) |  | 51 |  |  | 67 |  |  | 65 |  |  | 61 |  |  | 63 |  |  | 58 |
Total fixed charges |  | $ | 136 |  |  | $ | 219 |  |  | $ | 264 |  |  | $ | 305 |  |  | $ | 360 |  |  | $ | 388 |
Ratio of Earnings to Fixed Charges |  | 8.53 |  |  | 6.71 |  |  | 4.58 |  |  | 4.48 |  |  | 4.38 |  |  |  |
Insufficient Coverage |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  | 540 |

(1) | Amounts represent those portions of rent expense (one-third) that are reasonable approximations of interest costs.