EX-12 3 a2013-12x3110xkexhibit12.htm STATEMENT RE: COMPUTATION OF RATIOS 2013-12-31 10-K Exhibit 12


Exhibit 12
UNITED TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
 
 
Full year 
(Dollars in millions) 
2013 
 
2012
 
2011
 
2010
 
2009
Fixed Charges:
 
 
 
 
 
 
 
 
 
Interest expense1
$
1,034

 
$
893

 
$
673

 
$
751

 
$
705

Interest capitalized
22

 
19

 
20

 
17

 
18

One-third of rents2
152

 
152

 
151

 
148

 
154

Total fixed charges
$
1,208

 
$
1,064

 
$
844

 
$
916

 
$
877

Earnings:
 

 
 

 
 

 
 

 
 

Income from continuing operations before income taxes
$
8,312

 
$
6,911

 
$
7,350

 
$
6,248

 
$
5,575

Fixed charges per above
1,208

 
1,064

 
844

 
916

 
877

Less: capitalized interest
(22
)
 
(19
)
 
(20
)
 
(17
)
 
(18
)
 
1,186

 
1,045

 
824

 
899

 
859

Amortization of interest capitalized
11

 
13

 
17

 
17

 
17

Total earnings
$
9,509

 
$
7,969

 
$
8,191

 
$
7,164

 
$
6,451

Ratio of earnings to fixed charges
7.87

 
7.49

 
9.70

 
7.82

 
7.36

 
1 
Pursuant to the guidance in the Income Taxes Topic of the FASB ASC, interest related to unrecognized tax benefits recorded was approximately $51 million, $40 million, $23 million, $27 million and $21 million for the years 2013, 2012, 2011, 2010 and 2009, respectively. The ratio of earnings to fixed charges would have been 8.22, 7.78, 9.98, 8.06 and 7.54 for the years 2013, 2012, 2011, 2010 and 2009, respectively, if such interest were excluded from the calculation.
2 
Reasonable approximation of the interest factor.