Walgreens Boots Alliance, Inc. - FORM 10-Q - EX-12 - EXHIBIT 12 - July 6, 2016

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10-Q - WALGREENS BOOTS ALLIANCE, INC. 10-Q 5-31-2016 - Walgreens Boots Alliance, Inc.form10q.htm
EX-32.2 - EXHIBIT 32.2 - Walgreens Boots Alliance, Inc.ex32_2.htm
EX-32.1 - EXHIBIT 32.1 - Walgreens Boots Alliance, Inc.ex32_1.htm
EX-31.2 - EXHIBIT 31.2 - Walgreens Boots Alliance, Inc.ex31_2.htm
EX-31.1 - EXHIBIT 31.1 - Walgreens Boots Alliance, Inc.ex31_1.htm
Exhibit 12

Walgreens Boots Alliance, Inc.
Computation of Historical Ratios of Earnings to Fixed Charges (a)
(in millions, except ratio data)

   
Nine Months Ended,
          
Twelve Months Ended,
  
   
May 31, 2016
    
2015
    
2014
    
2013
    
2012
    
2011
  
Income before income tax provision
  
$
3,911
    
$
5,311
    
$
3,557
    
$
4,047
    
$
3,376
    
$
4,294
  
Add:
                                                
Minority Interests
    
-
      
-
      
-
      
5
      
-
      
-
  
Fixed charges
    
1,743
      
2,054
      
1,376
      
1,383
      
1,260
      
1,212
  
Amortization of capitalized interest
    
-
      
1
      
6
      
7
      
6
      
5
  
Less:
                                                
Equity earnings
    
(3
)
    
(315
)
    
(617
)
    
(496
)
    
-
      
-
  
Capitalized interest
    
-
      
(1
)
    
(6
)
    
(7
)
    
(9
)
    
(10
)
Earnings as defined
  
$
5,651
    
$
7,050
    
$
4,316
    
$
4,939
    
$
4,633
    
$
5,501
  
                                                 
Interest expense, net of capitalized interest
  
$
442
    
$
632
    
$
168
    
$
193
    
$
94
    
$
77
  
Capitalized interest
    
-
      
1
      
6
      
7
      
9
      
10
  
Portions of rentals representative of the interest factor
    
1,301
      
1,421
      
1,202
      
1,183
      
1,157
      
1,125
  
Fixed charges as defined
  
$
1,743
    
$
2,054
    
$
1,376
    
$
1,383
    
$
1,260
    
$
1,212
  
                                                 
Ratio of earnings to fixed charges
    
3.24
      
3.43
      
3.14
      
3.57
      
3.68
      
4.54
  

(a) For the purpose of computing these ratios, “earnings” consist of earnings before income tax provision and before adjustment for income or loss from equity investees, interest, distributed income of equity-method investees, and the portions of rentals representative of the interest factor.  “Fixed charges” consist of interest expense (which includes amortization of capitalized debt issuance costs), capitalized interest and the portions of rentals representative of the interest factor.
 
Walgreens Boots Alliance, Inc. is the successor of Walgreen Co. See Note 1 of the consolidated financial statements for further information
 
 

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