EX-12 3 dex12.htm STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Statement re: computation of ratio of earnings to fixed charges

Exhibit 12

UNITED TECHNOLOGIES CORPORATION

AND SUBSIDIARIES

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

     Six Months Ended June 30,  

(in millions of dollars)

   2009     2008  

Fixed Charges:

    

Interest expense1 

    $ 352     $ 341  

Interest capitalized

     10       10  

One-third of rents2 

      69       67  
                

Total fixed charges

   $ 431     $ 418  
                

Earnings:

    

Income before income taxes

   $ 2,535     $ 3,432  

Fixed charges per above

     431       418  

Less: capitalized interest

     (10 )      (10 ) 
                
     421       408  
                

Amortization of interest capitalized

      5       5  
                

Total earnings

   $ 2,961     $ 3,845  
                

Ratio of earnings to fixed charges

     6.87       9.20  
                

 

1 Interest related to unrecognized tax benefits recorded under Financial Accounting Standards Board Interpretation No. 48, “Accounting for Uncertainty in Income Taxes” was approximately $11 million and $23 million for the six months ended June 30, 2009 and 2008, respectively. The ratio of earnings to fixed charges would have been 7.05 and 9.73 for the six months ended June 30, 2009 and 2008, respectively, if such interest were excluded from the calculation.
2 Reasonable approximation of the interest factor.