EX-12 4 d477572dex12.htm EX-12 EX-12

Exhibit 12

UNITED TECHNOLOGIES CORPORATION

AND SUBSIDIARIES

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

     Full year  

(Dollars in millions)

    2012     2011     2010     2009     2008  

Fixed Charges:

           

Interest expense1

    $ 893      $ 673      $ 751      $ 705     $ 689  

Interest capitalized

      19       20       17       18       19  

One-third of rents2

      152       151       148       154       168  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total fixed charges

    $ 1,064      $ 844     $ 916      $ 877     $ 876  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Earnings:

           

Income from continuing operations before income taxes

    $ 6,911      $ 7,350      $ 6,248     $ 5,575     $ 6,692  

Fixed charges per above

      1,064       844       916        877       876  

Less: capitalized interest

      (19 )      (20 )      (17 )      (18 )      (19 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  
     1,045       824       899        859       857  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Amortization of interest capitalized

      13       17       17       17       9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total earnings

    $ 7,969      $ 8,191     $ 7,164      $ 6,451     $ 7,558  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of earnings to fixed charges

      7.49       9.70       7.82        7.36       8.63  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

1 

Pursuant to the guidance in the Income Taxes Topic of the FASB ASC, interest related to unrecognized tax benefits recorded was approximately $40 million, $23 million, $27 million, $21 million and $39 million for the years 2012, 2011, 2010, 2009 and 2008, respectively. The ratio of earnings to fixed charges would have been 7.82, 10.00, 8.10, 7.56 and 9.08 for the years 2012, 2011, 2010, 2009 and 2008, respectively, if such interest were excluded from the calculation.

2 

Reasonable approximation of the interest factor.