EX-12 3 d12954exv12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12
 

Exhibit 12

AMERICAN AIRLINES, INC.
Computation of Ratio of Earnings to Fixed Charges
(in millions)

                                         
    1999
  2000
  2001
  2002
  2003
Earnings:
                                       
Earnings (loss) before income taxes and cumulative effect of accounting change
  $ 1,054     $ 1,282     $ (2,449 )   $ (3,669 )   $ (1,409 )
Add: Total fixed charges (per below)
    989       1,068       1,435       1,532       1,421  
Less: Interest capitalized
    111       143       135       80       66  
 
   
 
     
 
     
 
     
 
     
 
 
Total earnings
  $ 1,932     $ 2,207     $ (1,149 )   $ (2,217 )   $ (54 )
 
   
 
     
 
     
 
     
 
     
 
 
Fixed charges:
                                       
Interest
  $ 215     $ 281     $ 406     $ 522     $ 525  
Portion on rental expense representative of the interest factor
    773       785       1,025       1,005       888  
Amortization of debt expense
    1       2       4       5       8  
 
   
 
     
 
     
 
     
 
     
 
 
Total fixed charges
  $ 989     $ 1,068     $ 1,435     $ 1,532     $ 1,421  
 
   
 
     
 
     
 
     
 
     
 
 
Ratio of earnings to fixed charges
    1.95       2.07                    
 
   
 
     
 
     
 
     
 
     
 
 
Coverage deficiency
              $ 2,584     $ 3,749     $ 1,475  
 
   
 
     
 
     
 
     
 
     
 
 
     
Note:
  In April 2001, the Board of Directors of American approved the guarantee by American of AMR’s debt obligations. As of December 31, 2003, American has guaranteed approximately $936 million of unsecured debt and approximately $503 million of secured debt. The impact of these unconditional guarantees is not included in the above computation.