EX-12 3 ex12.txt EXHIBIT 12
EXHIBIT 12 ASHLAND INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (In millions) Three months ended Years ended September 30 December 31 ------------------------------------------------ ------------------ 2001 2002 2003 2004 2005 2004 2005 -------- -------- -------- -------- -------- -------- -------- EARNINGS Income from continuing operations $ 390 $ 115 $ 94 $ 398 $ 2,005 $ 94 $ 67 Income taxes 266 68 44 150 (202) 55 40 Interest expense 160 133 121 112 87 28 2 Interest portion of rental expense 40 35 33 35 38 9 9 Amortization of deferred debt expense 2 2 2 2 3 - 1 Distributions in excess of (less than) earnings of unconsolidated affiliates (91) 20 (98) (263) (250) (145) (2) -------- -------- -------- -------- -------- -------- -------- $ 767 $ 373 $ 196 $ 434 $ 1,681 $ 41 $ 117 ======== ======== ======== ======== ======== ======== ======== FIXED CHARGES Interest expense $ 160 $ 133 $ 121 $ 112 $ 87 $ 28 $ 2 Interest portion of rental expense 40 35 33 35 38 9 9 Amortization of deferred debt expense 2 2 2 2 3 - 1 -------- -------- -------- -------- -------- -------- -------- $ 202 $ 170 $ 156 $ 149 $ 128 $ 37 $ 12 ======== ======== ======== ======== ======== ======== ======== RATIO OF EARNINGS TO FIXED CHARGES 3.80 2.19 1.26 2.91 13.13 1.11 9.75