EX-12 6 c03134exv12.txt COMPUTATION RATIO OF EARNINGS TO FIXED CHARGES EXHIBIT 12 TENNECO INC. AND CONSOLIDATED SUBSIDIARIES COMBINED WITH 50% OWNED UNCONSOLIDATED SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
YEARS ENDED DECEMBER 31, --------------------------------- 2005 2004 2003 2002 2001 ---- ---- ---- ---- ----- (DOLLARS IN MILLIONS) Income (loss) before cumulative effect of change in accounting principle................................... $ 58 $ 15 $ 26 $ 31 $(131) Add: Interest expense....................................... 130 179 149 141 170 Portion of rentals representative of the interest factor.............................................. 12 11 11 11 10 Income tax expense (benefit) and other taxes on income.............................................. 25 (24) (7) (7) 50 Minority interest...................................... 2 4 6 4 -- Amortization of interest capitalized................... 2 1 1 1 1 Undistributed (earnings) losses of affiliated companies in which in less than a 50% voting interest is owned............................................... (1) -- 2 2 1 ---- ---- ---- ---- ----- Earnings as defined................................. $228 $186 $188 $183 $ 101 ==== ==== ==== ==== ===== Interest expense......................................... $130 $179 $149 $141 $ 170 Interest capitalized..................................... 3 2 4 4 3 Portion of rentals representative of the interest factor................................................. 12 11 11 11 10 ---- ---- ---- ---- ----- Fixed charges as defined............................ $145 $192 $164 $156 $ 183 ==== ==== ==== ==== ===== Ratio of earnings to fixed charges....................... 1.57 0.97 1.15 1.17 0.55 ==== ==== ==== ==== =====
--------------- NOTE: Earnings were inadequate to cover fixed charges by $6 million and $82 million for the years ended December 31, 2004, and 2001, respectively. 141