EX-12.01 2 d369484dex1201.htm CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES Consolidated Ratio of Earnings to Fixed Charges

Exhibit 12.01

ORACLE CORPORATION

Consolidated Ratio of Earnings to Fixed Charges

(Unaudited)

 

     Year Ended May 31,  

(Dollars in millions)

    2012      2011      2010      2009      2008  

Earnings(1)

               

Income before provision for income taxes

    $     12,962       $     11,411       $     8,243       $     7,834       $     7,834   

Add: Noncontrolling interests

      119         97         95         84         60   

Add: Fixed charges

      827         875         808         685         454   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total earnings

    $ 13,908       $ 12,383       $ 9,146       $ 8,603       $ 8,348   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Fixed Charges(2)

               

Interest expense

    $ 766       $ 808       $ 754       $ 630       $ 394   

Estimate of interest in rent expense

      61         67         54         55         60   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total fixed charges

    $ 827       $ 875       $ 808       $ 685       $ 454   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratio of earnings to fixed charges

      17x         14x         11x         13x         18x   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

 

(1) 

The term “earnings” means the amounts resulting from the following: (a) our income before provision for income taxes, plus (b) the noncontrolling interests in the net income of our majority owned subsidiaries, plus (c) our fixed charges.

(2) 

The term “fixed charges” means the amounts resulting from the following: (a) our interest expensed, plus (b) our estimate of the interest component of rent expense.

We do not report any shares of preferred stock outstanding in our consolidated financial statements because our outstanding preferred stock is owned by one or more of our wholly-owned subsidiaries. Our ratio of earnings to combined fixed charges and preferred dividends for any given period is equivalent to our ratio of earnings to fixed charges.