EX-12 17 v10668exv12.htm EX-12 exv12
 

Exhibit 12
Berkshire Hathaway Inc.
Statement Regarding Calculation of Ratio of Consolidated Earnings to Consolidated Fixed Charges
(Dollars in millions)
                                                 
    Six Months Ended   Years Ended December 31,
    June 30. 2005   2004   2003   2002   2001   2000
Net earnings
   $ 2,812     $ 7,308     $ 8,151     $ 4,286     $ 795     $ 3,328  
Income tax expense
     1,291       3,569       3,805       2,059       590       1,997  
Minority interests in earnings
     24       59       64       14       53       241  
Equity in earnings of MidAmerican Energy Holdings Company
     (241 )     (237 )     (429 )     (359 )     (134 )     (85 )
Fixed charges *
     438       875       614       840       1,069       986  
 
                                                
 
                                                
Earnings available for fixed charges
   $ 4,324     $ 11,574     $ 12,205     $ 6,840     $ 2,373     $ 6,467  
 
                                                
 
                                                
Investment gains (losses), pre-tax, included in earnings available for fixed charges
   $ (366 )   $ 3,496     $ 4,129     $ 918     $ 1,488     $ 4,499  
 
                                                
 
                                                
Fixed charges *
                                                
Interest on indebtedness (including amortization of debt discount and expense)
   $ 361     $ 721     $ 472     $ 725     $ 968     $ 916  
Rentals representing interest
     77       154       142       115       101       70  
 
                                                
 
   $ 438     $ 875     $ 614     $ 840     $ 1,069     $ 986  
 
                                                
 
                                                
Ratio of earnings to fixed charges *
     9.87x       13.23x       19.88x       8.14x       2.22x       6.56x  
 
                                                
 
                                                
Ratio of earnings, excluding investment gains (losses), to fixed charges *
   10.7lx     9.23x       13.15x       7.05x       0.83x       2.00x  
 
                                                
 
*   Includes fixed charges of finance businesses. Fixed charges of finance businesses were as follows:
                                                 
    Six Months Ended   Years Ended December 31 ,
    June 30, 2005   2004   2003   2002   2001   2000
 
   $ 300     $ 602     $ 337     $ 551     $ 775     $ 786  
Excluding fixed charges of finance businesses the ratios of earnings to fixed charges were as follows:
                                                 
    Six Months Ended   Years Ended December 31,
    June 30, 2005   2004   2003   2002   2001   2000
Including investment gains (losses)
     29.16x       40.19x       42.84x       21.76x       5.44x       28.41x  
Excluding investment gains (losses)
     31.81x       27.38x       27.94x       18.58x       0.37X     5.9lx