EX-12 2 a2014-06x3010xqexhibit12.htm EXHIBIT 2014-06-30 10-Q Exhibit 12


Exhibit 12
UNITED TECHNOLOGIES CORPORATION
AND SUBSIDIARIES
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
 
 
 
Six Months Ended June 30,
(Dollars in millions)
 
2014
 
2013
Fixed Charges:
 
 
 
 
Interest expense 1 
 
$
488

 
$
527

Interest capitalized
 
13

 
12

One-third of rents 2 
 
75

 
73

Total fixed charges
 
$
576

 
$
612

Earnings:
 
 
 
 
Income from continuing operations before income taxes
 
$
4,022

 
$
4,060

Fixed charges per above
 
576

 
612

Less: capitalized interest
 
(13
)
 
(12
)
 
 
563

 
600

Amortization of interest capitalized
 
7

 
6

Total earnings
 
$
4,592

 
$
4,666

Ratio of earnings to fixed charges
 
7.97

 
7.62


1 
Pursuant to the guidance in the Income Taxes Topic of the Financial Accounting Standards Board Accounting Standards Codification, interest related to unrecognized tax benefits recorded was approximately $20 million and $15 million for the six months ended June 30, 2014 and 2013, respectively. The ratio of earnings to fixed charges would have been 8.26 and 7.82 for the six months ended June 30, 2014 and 2013, respectively, if such interest were excluded from the calculation.
2 
Reasonable approximation of the interest factor.