EX-12 2 d523130dex12.htm EX-12 EX-12

EXHIBIT 12.

Computation of Earnings to Fixed Charges

 

Ratio of Earnings to Fixed Charges:   Three Months Ended
March 31,
2013		     Year Ended December 31,  
    2012     2011     2010     2009  
Dollars in Millions                              

Earnings

          

Earnings from continuing operations before income taxes

   $ 674     $ 2,340     $ 6,981     $ 6,071     $ 5,602  

Less:

          

Noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges

     24       844       2,323       2,074       1,717  

Equity in net income of affiliates

     36       183       281       313       550  

Capitalized interest

     —       —       —       8       13  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted income

     614       1,313       4,377       3,676       3,322  

Add:

          

Fixed charges

     64       227       190       201       242  

Distributed income of equity investments

     31       229       283       313       550  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Earnings

   $ 709     $         1,769     $         4,850     $         4,190     $         4,114  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed Charges

          

Interest expense

   $ 50     $ 182     $ 145     $ 145     $ 184  

Capitalized interest

     —       —       —       8       13  

One-third of rental expense(1)

     14       45       45       48       45  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Fixed Charges

   $ 64     $ 227     $ 190     $ 201     $ 242  
 

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of Earnings to Fixed Charges

     11.08       7.79       25.53       20.85       17.00  

 

(1)

Rents included in the computation consist of one-third of rental expense which the Company believes to be a reasonable estimate of an interest factor in its leases.

 

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