EX-12 4 a2207856zex-12.htm EX-12

Exhibit 12

 

Dollar General Corporation

Ratio of Earnings to Fixed Charges, Combined Fixed Charges and Preferred Stock Dividends(1)

 

 

 

Predecessor

 

Successor

 

 

 

February 3,
2007
through

 

March 6,
2007
through

 

Fiscal Year Ended

 

 

 

July 6,
2007

 

February 1,
2008

 

January 30,
2009

 

January 29,
2010

 

January 28,
2011

 

February 3,
2012 (2)

 

Earnings(3):

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes

 

$

4.0

 

$

(6.6

)

$

194.4

 

$

552.1

 

$

985.0

 

$

1,225.3

 

Fixed Charges, exclusive of capitalized interest

 

58.8

 

320.7

 

513.7

 

505.7

 

471.5

 

437.7

 

 

 

$

62.8

 

$

314.1

 

$

708.1

 

$

1,057.8

 

$

1,456.5

 

$

1,663.0

 

Fixed Charges(3):

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest charged to expense

 

$

10.3

 

$

252.9

 

$

391.9

 

$

345.7

 

$

274.2

 

205.0

 

Interest factor on rental expense(4)

 

48.5

 

67.8

 

121.8

 

160.0

 

197.3

 

232.7

 

 

 

58.8

 

320.7

 

513.7

 

505.7

 

471.5

 

437.7

 

Interest capitalized

 

—

 

—

 

—

 

—

 

—

 

1.5

 

 

 

$

58.8

 

$

320.7

 

$

513.7

 

$

505.7

 

$

471.5

 

$

439.2

 

Ratio of earnings to fixed charges

 

1.1x

 

 

 

1.4x

 

2.1x

 

3.1x

 

3.8x

 

Excess of fixed charges over earnings(5)

 

 

 

$

(6.6

)

 

 

 

 

 

 

 

 

 

(1)           During the periods indicated, we had no outstanding shares of preferred stock. Accordingly, our historical ratio of earnings to fixed charges, combined fixed charges and preferred stock dividends is the same as our ratio of earnings to fixed charges in all periods.

 

(2)           The fiscal year ended February 3, 2012 was comprised of 53 weeks.

 

(3)           For purposes of computing the ratio of earnings to fixed charges, (a) earnings consist of income (loss) before income taxes, plus fixed charges less capitalized expenses related to indebtedness (amortization expense for capitalized interest is not significant) and (b) fixed charges consist of interest expense (whether expensed or capitalized), the amortization of debt issuance costs and discounts related to indebtedness, and the interest portion of rent expense.

 

(4)           The portion of rent expense representative of interest is based on the present value of the future lease payments discounted at 10%.

 

(5)           For the period from March 6, 2007 through February 1, 2008, fixed charges exceeded earnings by $6.6 million.