EX-12 4 k58507ex12.txt COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES 1 EXHIBIT 12 MASCO CORPORATION AND CONSOLIDATED SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(THOUSANDS OF DOLLARS) ----------------------------------------------------------------- NINE MONTHS ENDED SEPT. 30, YEAR ENDED DECEMBER 31 ---------- ----------------------------------------------------- 2000 1999 1998 1997 1996 1995 ---------- ---------- ---------- -------- -------- --------- EARNINGS BEFORE INCOME TAXES AND FIXED CHARGES: Income from continuing operations before income taxes $ 867,900 $ 904,100 $ 905,500 $733,800 $575,600 $396,600 Deduct/add equity in undistributed (earnings)/loss of fifty-percent-or- less-owned companies (5,840) (18,720) (24,070) (19,470) (12,310) (17,770) Add interest on indebtedness, net 138,410 121,520 115,700 94,780 78,790 78,350 Add amortization of debt expense 1,440 1,350 2,130 2,310 1,400 1,930 Add estimated interest factor for rentals 14,250 16,080 11,430 9,270 7,120 5,870 ---------- ---------- ---------- -------- -------- -------- Earnings before income taxes and fixed charges $1,016,160 $1,024,330 $1,010,690 $820,690 $650,600 $464,980 ========== ========== ========== ======== ======== ======== FIXED CHARGES: Interest on indebtedness $ 143,850 $ 129,860 $ 119,750 $ 97,910 $ 81,250 $ 81,410 Amortization of debt expense 1,440 1,350 2,130 2,310 1,400 1,930 Estimated interest factor for rentals 14,250 16,080 11,430 9,270 7,120 5,870 ---------- ---------- ---------- -------- -------- -------- $ 159,540 $ 147,290 $ 133,310 $109,490 $ 89,770 $ 89,210 ========== ========== ========== ======== ======== ======== Ratio of earnings to fixed charges 6.4 7.0 7.6 7.5 7.2 5.2 === === === === === ===