EX-12 8 ex124.htm COMPUTATION OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (GAAP U.S) Alcan Inc

Exhibit 12.4

 

Alcan Inc.

Computation of Earnings to Combined Fixed Charges and Preferred Stock Dividends

US GAAP

Continuing operations

(in millions of US dollars)

9 months

YEAR

2003

2002

2001

2000

1999

1998

Income (loss) from continuing operations

before cumulative effect of accounting changes -US GAAP

145

414

(41)

604

455

417

Less:

Equity income of less than 50%

owned companies

3

3

3

4

(1)

(48)

Plus:

Dividends received from less than

50% owned companies

2

3

2

1

1

5

Plus:

Minority interest of subsidiaries that

have fixed charges

12

3

(13)

(1)

14

(4)

Subtotal

156

417

(55)

600

471

466

FIXED CHARGES

Amount representative of interest factor in

rentals

22

27

24

19

19

28

Amount representative of interest factor in

rentals, 50% owned companies

0

0

0

0

0

0

Interest expense - net

156

202

252

78

76

92

Interest expense, 50% owned companies

0

0

0

0

0

0

Capitalized interest

5

1

30

81

41

15

Capitalized interest, 50% owned companies

0

0

0

0

0

0

TOTAL FIXED CHARGES

[A]

183

230

306

178

136

135

Less:

Capitalized interest

5

1

30

81

41

15

Fixed charges added to income/(loss)

178

229

276

97

95

120

Plus:

Amortization of capitalized interest

18

24

25

21

18

15

Income taxes

368

315

15

260

211

210

Earnings before fixed charges and income

taxes

[B]

720

985

261

978

795

811

TOTAL FIXED CHARGES

183

230

306

178

136

135

Preference dividends

5

5

8

10

9

10

1 minus statutory tax rate of 40%

0.6

0.6

0.6

0.6

0.6

0.6

Preference dividends pre tax

8

8

13

17

15

17

Total

[C]

191

238

319

195

151

152

Ratio of earnings to combined fixed charges

and preferred stock dividends

{[B]/[C]}

3.77

4.14

0.82

5.02

5.26

5.35