EX-12.1 2 a05-16543_1ex12d1.htm EX-12.1

EXHIBIT 12.1

 

FEDERAL EXPRESS CORPORATION

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(UNAUDITED)

(IN MILLIONS, EXCEPT RATIOS)

 

 

 

Three Months Ended

 

 

 

 

 

August 31,

 

Year Ended May 31,

 

 

 

2005

 

2004

 

2005

 

2004

 

2003

 

2002

 

2001

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

$

264

 

$

273

 

$

1,305

 

$

541

 

$

689

 

$

703

 

$

786

 

Add back:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net of capitalized interest

 

13

 

20

 

73

 

64

 

57

 

74

 

75

 

Amortization of debt issuance costs

 

—

 

—

 

—

 

—

 

—

 

1

 

1

 

Portion of rent expense representative of interest factor

 

183

 

146

 

600

 

583

 

599

 

594

 

563

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings as adjusted

 

$

460

 

$

439

 

$

1,978

 

$

1,188

 

$

1,345

 

$

1,372

 

$

1,425

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net of capitalized interest

 

$

13

 

$

20

 

$

73

 

$

64

 

$

57

 

$

74

 

$

75

 

Capitalized interest

 

8

 

2

 

13

 

7

 

13

 

23

 

23

 

Amortization of debt issuance costs

 

—

 

—

 

—

 

—

 

—

 

1

 

1

 

Portion of rent expense representative of interest factor

 

183

 

146

 

600

 

583

 

599

 

594

 

563

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

$

204

 

$

168

 

$

686

 

$

654

 

$

669

 

$

692

 

$

662

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of Earnings to Fixed Charges

 

2.3

 

2.6

 

2.9

 

1.8

 

2.0

 

2.0

 

2.2