EX-12 4 d366625dex12.htm EX-12 EX-12

EXHIBIT 12

Arconic and subsidiaries

Computations of Ratio of Earnings to Fixed Charges and

Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

(in millions, except ratios)

 

Six months ended June 30,

    2017  

Earnings

   

Income from continuing operations before income taxes

    $ 753  

Noncontrolling interests share of earnings of majority-owned subsidiaries without fixed charges

      —    

Equity income

      —    

Fixed charges added to earnings

      306  

Distributed income of less than 50 percent-owned persons

      —    

Amortization of capitalized interest:

   

Consolidated

      6  

Proportionate share of 50 percent-owned persons

      —    
  

 

 

  

Total earnings

    $ 1,065  
  

 

 

  

Fixed Charges

   

Interest expense:

   

Consolidated

    $ 298  

Proportionate share of 50 percent-owned persons

      —    
  

 

 

  
   $ 298  
  

 

 

  

Amount representative of the interest factor in rents:

   

Consolidated

    $ 8  

Proportionate share of 50 percent-owned persons

      —    
  

 

 

  
   $ 8  
  

 

 

  

Fixed charges added to earnings

    $ 306  
  

 

 

  

Interest capitalized:

   

Consolidated

    $ 13  
  

 

 

  

Proportionate share of 50 percent-owned persons

      —    
  

 

 

  
   $ 13  
  

 

 

  

Preferred stock dividend requirements of majority-owned subsidiaries

      —    
  

 

 

  

Total fixed charges

    $ 319  
  

 

 

  

Pretax earnings required to pay preferred stock dividends*

      53  
  

 

 

  

Combined total fixed charges and preferred stock dividends

    $ 372  
  

 

 

  

Ratio of earnings to fixed charges

      3.3  
  

 

 

  

Ratio of earnings to combined fixed charges and preferred stock dividends

      2.9  
  

 

 

  

 

* Based on U.S. statutory rate of 35%