EX-12 2 d244954dex12.htm EX-12 EX-12

Exhibit 12

MONSANTO COMPANY

 

Ratio of Earnings to Fixed Charges(1)(2)

(Dollars in millions except for percentages)

   Year Ended Aug. 31,  
  2010        2009        2008        2007        2006  
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

EARNINGS:

                      

Income from Continuing Operations Before Income Taxes

   $ 1,490         $ 2,918         $ 2,926         $ 1,328         $ 1,018   

Add:

                      

Fixed charges

     227           178           162           174           160   

Dividends from affiliated companies

     —           —           —           —           —   

Equity affiliate (income) expense — net

     (16 )         (17 )         (2 )         34           31   

Amortization of capitalized interest

     14           13           16           15           15   

Less:

                      

Capitalized interest

     (25 )         (34 )         (22 )         (14 )         (9 ) 
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Earnings available for fixed charges

   $     1,690         $     3,058         $     3,080         $     1,537         $     1,215   
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

FIXED CHARGES:

                      

Interest expense(3)

   $ 167         $ 107         $ 110         $ 136         $ 133   

Capitalized interest

     25           34           22           14           9   

Portion of rents representative of interest factor

     35           37           30           24           18   
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Total Fixed Charges

   $ 227         $ 178         $ 162         $ 174         $ 160   
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

Ratio of Earnings to Fixed Charges

     7.44           17.18           19.01           8.83           7.59   
 

 

 

       

 

 

       

 

 

       

 

 

       

 

 

  

 

 

 

(1) 

Monsanto has not paid any preference security dividends and, therefore, has not included the ratio of combined fixed charges and preference security dividends to earnings for the relevant periods.

 

(2)

The operating results of the Dairy business have been conformed to discontinued operations presentation for all relevant fiscal years presented.

 

(3)

Includes amortization of deferred debt issuance costs and the interest component of the income tax provision.

 

Debt to Capital Ratio(1) (amounts in

millions except for percentages)

   Year Ended Aug. 31,  
  2010        2009        2008        2007        2006  

Short-Term Debt

   $ 241         $ 79         $ 24         $ 270         $ 28   

Long-Term Debt

     1,862           1,724           1,792           1,150           1,639   

Total Debt

     2,103           1,803           1,816           1,420           1,667   

Total Monsanto Company Shareowners’ Equity

     10,069           10,039           9,374           7,503           6,525   

Debt-to-Capital Ratio

     17%           15%           16%           16%           20%   

 

 

 

(1) 

Debt-to-capital ratio is the sum of short-term and long-term debt, divided by the sum of short-term and long-term debt and shareowners’ equity.

 

Current Ratio(1) (amounts in millions except

for ratios)

   Year Ended Aug. 31,  
  2010        2009        2008        2007        2006  

Total Current Assets

   $ 7,050         $ 7,783         $ 7,609         $ 5,084         $ 5,461   

Total Current Liabilities

     3,556           3,727           4,439           3,075           2,279   

Current Ratio

     1.98           2.09           1.71           1.65           2.40   

 

 

 

(1) 

Current ratio represents total current assets divided by total current liabilities.