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

 

     Six Months Ended June 30,  

(Dollars in millions)

   2011     2010  

Fixed Charges:

    

Interest expense1 

    $ 331     $ 378  

Interest capitalized

     11       9  

One-third of rents2 

      75       72  
                

Total fixed charges

   $ 417     $ 459  
                

Earnings:

    

Income before income taxes

   $ 3,709     $ 3,085  
                

Fixed charges per above

     417       459  

Less: capitalized interest

     (11 )      (9 ) 
                
     406       450  
                

Amortization of interest capitalized

     8       8  
                

Total earnings

   $ 4,123     $ 3,543  
                

Ratio of earnings to fixed charges

     9.89       7.72  
                

 

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 $15 million for the six months ended June 30, 2011 and 2010, respectively. The ratio of earnings to fixed charges would have been 10.13 and 7.98 for the six months ended June 30, 2011 and 2010, respectively, if such interest were excluded from the calculation.

2

Reasonable approximation of the interest factor.