EX-12 2 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

 

     Three Months Ended March 31,  

(in millions of dollars)

   2010     2009  

Fixed Charges:

    

Interest expense1 

   $ 186     $ 175  

Interest capitalized

     4       5  

One-third of rents2 

     37       33  
                

Total fixed charges

   $ 227     $ 213  
                

Earnings:

    

Income before income taxes

   $ 1,352     $ 1,075  
                

Fixed charges per above

     227       213  

Less: capitalized interest

     (4 )      (5 ) 
                
     223       208  
                

Amortization of interest capitalized

     4       2  
                

Total earnings

   $ 1,579     $ 1,285  
                

Ratio of earnings to fixed charges

     6.96       6.03  
                
    

 

1 Pursuant to the guidance in the Income Taxes Topic of the FASB ASC, interest related to unrecognized tax benefits recorded was approximately $10 million and $6 million for the three months ended March 31, 2010 and 2009, respectively. The ratio of earnings to fixed charges would have been 7.28 and 6.21 for the three months ended March 31, 2010 and 2009, respectively, if such interest were excluded from the calculation.
2 Reasonable approximation of the interest factor.