EX-12 4 ibm16q1_ex12.htm EX-12  

                                                                                                                                                                                                           EXHIBIT 12

 

COMPUTATION OF RATIO OF INCOME FROM

CONTINUING OPERATIONS TO FIXED CHARGES

FOR THREE MONTHS ENDED MARCH 31,

(UNAUDITED)

 

(Dollars in millions)

 

2016

 

2015

Income from continuing operations before income taxes (1)

 

$

1,035

 

$

3,003

 

 

 

 

 

 

 

Add: fixed charges, excluding capitalized interest

 

 

397

 

 

360

 

 

 

    

 

 

    

Income as adjusted before income taxes

 

$

1,432

 

$

3,363

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

     Interest expense

 

$

285

 

$

247

     Capitalized interest

 

 

1

 

 

(2)

     Portion of rental expense representative of interest

 

 

112

 

 

113

 

 

 

 

 

 

 

Total fixed charges

 

$

398

 

$

358

 

 

 

 

 

 

 

Ratio of income from continuing operations to fixed charges

 

 

3.60

 

 

9.39

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) Income from continuing operations before income taxes excludes (a) amortization of capitalized interest, and (b) the

      company's share in the income and losses of less-than-fifty percent-owned affiliates.

 

75