EX-12 10 tru201210k-ex12.htm STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES TRU.2012.10K-Ex12
Exhibit 12

Toy "R" Us, Inc.
Computation of Historical Ratios of Earnings to Fixed Charges (a) 
(In Millions, Except Ratio Data)

 
 
Fiscal Years Ended
(In millions)
 
February 2, 2013
January 28, 2012
January 29, 2011
January 30, 2010
January 31, 2009
Consolidated pretax earnings from continuing operations
 
$
92

$
150

$
132

$
344

$
218

Noncontrolling interest
 
1

2

(1
)
(8
)
(7
)
Interest capitalized during period
 
(1
)
(1
)
(1
)

(1
)
Total fixed charges
 
716

688

756

677

600

Adjusted earnings from continuing operations
 
$
808

$
839

$
886

$
1,013

$
810

 
 
 
 
 
 
 
Fixed Charges
 
 
 
 
 
 
Interest expense
 
$
480

$
442

$
521

$
447

$
419

Interest capitalized during period
 
1

1

1


1

Interest portion of rental expense
 
235

245

234

230

180

Total Fixed Charges
 
$
716

$
688

$
756

$
677

$
600

Ratio of Earnings to Fixed Charges
 
1.13

1.22

1.17

1.50

1.35

(a) For purposes of calculating the ratio of earnings to fixed charges, earnings were calculated by adding (i) earnings from continuing operations before noncontrolling interest and income taxes, (ii) interest expense, including the portion of rents representative of an interest factor and (iii) amortization of debt issuance costs. Fixed charges consist of interest expense, amortization of debt issuance costs and the portions of rents representative of an interest factor.

Rent expense, net of sublease income
 
$
628

$
588

$
570

$
519

$
503

Capitalization factor
 
4.6

5.2

5.0

5.3

6.7

Weighted average cost of long-term debt
 
8.1
%
8.0
%
8.2
%
8.3
%
5.3
%
Interest in rent expense
 
$
235

$
246

$
234

$
230

$
180

% of interest to rent expense
 
37
%
42
%
41
%
44
%
36
%