EX-12 2 a06-21892_1ex12.htm EX-12

EXHIBIT 12

KRAFT FOODS INC. AND SUBSIDIARIES
Computation of Ratios of Earnings to Fixed Charges
(in millions of dollars)

 

 

Nine Months Ended

 

Three Months Ended

 

 

 

September 30, 2006

 

September 30, 2006

 

 

 

 

 

 

 

Earnings from continuing operations before income taxes
and minority interest

 

$

3,175

 

$

1,223

 

 

 

 

 

 

 

Add (Deduct):

 

 

 

 

 

Equity in net earnings of less than 50% owned affiliates

 

(48

)

(18

)

Dividends from less than 50% owned affiliates

 

50

 

2

 

Fixed charges

 

551

 

178

 

Interest capitalized, net of amortization

 

(3

)

 

 

 

 

 

 

 

 

Earnings available for fixed charges

 

$

3,725

 

$

1,385

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

Interest incurred:

 

 

 

 

 

Interest expense

 

$

437

 

$

141

 

Capitalized interest

 

5

 

1

 

 

 

442

 

142

 

 

 

 

 

 

 

Portion of rent expense deemed to represent interest factor

 

109

 

36

 

 

 

 

 

 

 

Fixed charges

 

$

551

 

$

178

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

6.8

 

7.8

 

 



EXHIBIT 12

KRAFT FOODS INC. AND SUBSIDIARIES
Computation of Ratios of Earnings to Fixed Charges
(in millions of dollars)

 

 

Years Ended December 31,

 

 

 

2005

 

2004

 

2003

 

2002

 

2001

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings from continuing operations before income taxes
and minority interest

 

$

4,116

 

$

3,946

 

$

5,195

 

$

5,114

 

$

3,280

 

Add (Deduct):

 

 

 

 

 

 

 

 

 

 

 

Equity in net earnings of less than 50% owned affiliates

 

(67

)

(7

)

(53

)

(51

)

(41

)

Dividends from less than 50% owned affiliates

 

55

 

46

 

41

 

28

 

21

 

Fixed charges

 

799

 

828

 

831

 

1,003

 

1,581

 

Interest capitalized, net of amortization

 

(1

)

(1

)

(1

)

(1

)

(3

)

 

 

 

 

 

 

 

 

 

 

 

 

Earnings available for fixed charges

 

$

4,902

 

$

4,812

 

$

6,013

 

$

6,093

 

$

4,838

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

Interest incurred:

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

$

651

 

$

677

 

$

678

 

$

854

 

$

1,452

 

Capitalized interest

 

3

 

2

 

3

 

4

 

5

 

 

 

654

 

679

 

681

 

858

 

1,457

 

 

 

 

 

 

 

 

 

 

 

 

 

Portion of rent expense deemed to represent interest factor

 

145

 

149

 

150

 

145

 

124

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges

 

$

799

 

$

828

 

$

831

 

$

1,003

 

$

1,581

 

Ratio of earnings to fixed charges

 

6.1

 

5.8

 

7.2

 

6.1

 

3.1