EXHIBIT 12
J. C. Penney Company, Inc.
Computation of Ratios of Earnings to Fixed Charges and Preferred Stock Dividends
(Unaudited)
| ($ in millions) | 52 Weeks Ended 1/31/09 |
52 Weeks Ended 2/2/08 |
53 Weeks Ended 2/3/07 |
52 Weeks Ended 1/28/06 |
52 Weeks Ended 1/29/05 |
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| Income from continuing operations before income taxes |
$ | 910 | $ | 1,723 | $ | 1,792 | $ | 1,444 | $ | 1,005 | ||||||||||
| Plus: fixed charges |
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| Interest expense, net |
225 | 153 | 130 | 169 | 223 | |||||||||||||||
| Add back: interest income included in net interest |
32 | 108 | 136 | 111 | 63 | |||||||||||||||
| Bond premiums and unamortized costs |
- | 12 | - | 18 | 47 | |||||||||||||||
| Estimated interest within rental expense |
89 | 75 | 69 | 65 | 55 | |||||||||||||||
| Capitalized interest |
10 | 10 | 5 | 6 | 4 | |||||||||||||||
| Preferred stock dividend requirement |
- | - | - | - | 18 | |||||||||||||||
| Total fixed charges |
356 | 358 | 340 | 369 | 410 | |||||||||||||||
| Less: capitalized interest |
(10 | ) | (10 | ) | (5 | ) | (6 | ) | (4 | ) | ||||||||||
| Less: preferred stock dividend requirement |
- | - | - | - | (18 | ) | ||||||||||||||
| Total earnings available for fixed charges |
$ | 1,256 | $ | 2,071 | $ | 2,127 | $ | 1,807 | $ | 1,393 | ||||||||||
| Ratio of available income to fixed charges and preferred stock dividends |
3.5 | 5.8 | 6.3 | 4.9 | 3.4 | |||||||||||||||