Attached files
Exhibit 12.1
Western Digital Corporation
Computation of Ratio of Earnings to Fixed Charges
Fiscal Year | Six months ended December 29, 2017 | ||||||||||||||||||||||
2013 | 2014 | 2015 | 2016 | 2017 | |||||||||||||||||||
(in millions) | |||||||||||||||||||||||
Computation of earnings: | |||||||||||||||||||||||
Income before provision for income taxes | $ | 1,222 | $ | 1,752 | $ | 1,577 | $ | 153 | $ | 769 | $ | 1,484 | |||||||||||
Fixed charges | 75 | 75 | 69 | 285 | 871 | 411 | |||||||||||||||||
Undistributed equity in income from 50%-or-less-owned affiliates | — | — | — | (1 | ) | (6 | ) | (2 | ) | ||||||||||||||
Adjusted earnings | $ | 1,297 | $ | 1,827 | $ | 1,646 | $ | 437 | $ | 1,634 | $ | 1,893 | |||||||||||
Computation of fixed charges: | |||||||||||||||||||||||
Interest expense | $ | 54 | $ | 56 | $ | 49 | $ | 266 | $ | 847 | $ | 402 | |||||||||||
Interest relating to lease guarantee of 50%-or-less-owned affiliates | — | — | — | — | 6 | — | |||||||||||||||||
Estimated interest portion of operating lease expense (1) | 21 | 19 | 20 | 19 | 18 | 9 | |||||||||||||||||
Fixed charges | $ | 75 | $ | 75 | $ | 69 | $ | 285 | $ | 871 | $ | 411 | |||||||||||
Ratio of earnings to fixed charges | 17.3 | x | 24.4 | x | 23.9 | x | 1.5 | x | 1.9 | x | 4.6 | x | |||||||||||
(1) | Interest is estimated at 33% of rental charges, which considers industry benchmarks and assumption of average debt service cost over the assumed life of the related property. |