EX-12.1 3 d399676dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

Illinois Tool Works Inc.

Computation of Historical Ratios of Earnings to Fixed Charges

(in thousands, except ratio data)

 

     Six Months
Ended
June 30,		     Fiscal Year Ended December 31,  
     2012     2011     2010     2009     2008     2007  

Income from continuing operations

    $ 998,043      $ 2,017,014      $ 1,452,438      $ 968,638      $ 1,623,963      $ 1,764,678   

Plus:

             

Fixed charges (from below)

      129,651        251,613        230,220        221,443        206,729        148,909   

Dividends of unconsolidated affiliates

      2,884        5,699        3,370        3,448        4,315        4,537   

Income taxes

      407,600        575,700        636,400        245,282        635,706        726,321   

Less:

             

Income from unconsolidated affiliates, net of taxes

      (3,857 )      (8,130 )      (6,744 )      (3,511 )      (6,761 )      (5,237 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Net Earnings

    $ 1,534,321      $ 2,841,896      $ 2,315,684      $ 1,435,300      $ 2,463,952      $ 2,639,208   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed Charges:

             

Interest expense

      99,911      $ 192,133      $ 175,163      $ 164,589      $ 154,368      $ 101,886   

Estimate of interest within rental expense

      29,740        59,480        55,057        56,854        52,361        47,023   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Total Fixed Charges

    $ 129,651      $ 251,613      $ 230,220      $ 221,443      $ 206,729      $ 148,909   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of Earnings to Fixed Charges(1)

      11.8x        11.3x        10.1x        6.5x        11.9x        17.7x   

 

(1) Certain reclassifications of prior years’ data have been made to conform to current year reporting, including discontinued operations. Fiscal years 2010 and 2009 have been restated for the elimination of the one-month lag for the reporting of our international operations outside of North America. See “Item 8. Financial Statements and Supplementary Data” of our Annual Report on Form 10-K for the year ended December 31, 2011 for more detail regarding discontinued operations and the elimination of the one-month lag.