EX-12 3 ex12.txt EXHIBIT 12 EXHIBIT 12 ASHLAND INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (In millions)
Nine months ended Years ended September 30 June 30 ------------------------------------------------ ------------------ 2001 2002 2003 2004 2005 2005 2006 -------- -------- -------- -------- -------- -------- -------- EARNINGS -------- Income from continuing operations $ 390 $ 115 $ 94 $ 398 $ 2,005 $ 1,893 $ 208 Income taxes 266 68 44 150 (202) (157) 90 Interest expense 160 133 121 112 87 85 6 Interest portion of rental expense 40 35 33 35 38 29 26 Amortization of deferred debt expense 2 2 2 2 3 2 - Distributions in excess of (less than) earnings of unconsolidated affiliates (91) 20 (98) (263) (250) (253) - -------- -------- -------- -------- -------- -------- -------- $ 767 $ 373 $ 196 $ 434 $ 1,681 $ 1,599 $ 330 ======== ======== ======== ======== ======== ======== ======== FIXED CHARGES ------------- Interest expense $ 160 $ 133 $ 121 $ 112 $ 87 $ 85 $ 6 Interest portion of rental expense 40 35 33 35 38 29 26 Amortization of deferred debt expense 2 2 2 2 3 2 - Capitalized interest - - - - - - 2 -------- -------- -------- -------- -------- -------- -------- $ 202 $ 170 $ 156 $ 149 $ 128 $ 116 $ 34 ======== ======== ======== ======== ======== ======== ======== RATIO OF EARNINGS TO FIXED CHARGES 3.80 2.19 1.26 2.91 13.13 13.78 9.71