EX-12.1 5 a08-2392_1ex12d1.htm EX-12.1

EXHIBIT 12.1

 

TEXTRON INC.

MANUFACTURING GROUP

 

COMPUTATION OF RATIO OF INCOME TO COMBINED FIXED

CHARGES AND PREFERRED STOCK DIVIDENDS

 

(Unaudited)

 

(In millions, except ratios)

 

 

 

Year

 

 

 

2007

 

2006

 

2005

 

2004

 

2003

 

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

Interest expense*

 

$

110

 

$

101

 

$

96

 

$

100

 

$

101

 

Distributions on preferred securities of subsidiary trusts, net of income taxes

 

—

 

—

 

—

 

—

 

13

 

Estimated interest portion of rents

 

27

 

27

 

27

 

27

 

26

 

 

 

 

 

 

 

 

 

 

 

 

 

Total fixed charges

 

$

137

 

$

128

 

$

123

 

$

127

 

$

140

 

 

 

 

 

 

 

 

 

 

 

 

 

Income:

 

 

 

 

 

 

 

 

 

 

 

Income from continuing operations before income taxes and distributions on preferred securities of subsidiary trusts

 

$

1,300

 

$

975

 

$

739

 

$

540

 

$

424

 

Fixed charges**

 

137

 

128

 

123

 

127

 

127

 

Eliminate equity in undistributed pretax income of finance subsidiary

 

(87

)

(130

)

(71

)

(69

)

(10

)

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted income

 

$

1,350

 

$

973

 

$

791

 

$

598

 

$

541

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of income to fixed charges

 

9.85

 

7.60

 

6.43

 

4.71

 

3.86

 

 

*                 Includes interest expense on all third-party indebtedness, except for interest related to unrecognized tax benefits which is included in income tax expense.

 

**          Adjusted to exclude distributions on preferred securities of subsidiary trusts, net of income taxes, in 2003.