EX-12 3 exhibit12computationofrati.htm STATEMENTS REGARDING COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Exhibit
  

 
 
Exhibit 12

 
 
 
 
Altria Group, Inc. and Subsidiaries
 
Computation of Ratios of Earnings to Fixed Charges
 
(in millions of dollars)
 
 
 
 
 
For the Six Months Ended June 30, 2017
 
Earnings before income taxes
$
5,001

 
 
 
 
Add (deduct):
 
 
Equity in net earnings of less than 50% owned affiliates
(165
)
 
Dividends from less than 50% owned affiliates
434

 
Fixed charges
370

 
Earnings available for fixed charges
$
5,640

 
 
 
 
Fixed charges:
 
 
Interest incurred (1)
$
361

 
Portion of rent expense deemed to represent interest factor
9

 
Fixed charges
$
370

 
 
 
 
Ratio of earnings to fixed charges
15.2

 
 
 
 
(1) Altria Group, Inc. includes interest relating to uncertain tax positions in its provision for income taxes, therefore such amounts are not included in fixed charges in the computation.
 
 
 
 
 

1
  



 
 
 
 
 
 
 
 
 
Altria Group, Inc. and Subsidiaries
Computation of Ratios of Earnings to Fixed Charges
(in millions of dollars)
 
 
 
 
 
 
 
 
 
 
 
For the Years Ended December 31,
 
2016
 
2015
 
2014
 
2013
 
2012
Earnings before income taxes
$
21,852

 
$
8,078

 
$
7,774

 
$
6,942

 
$
6,477

 
 
 
 
 
 
 
 
 
 
Add (deduct):
 
 
 
 
 
 
 
 
 
Equity in net earnings of less than 50% owned affiliates
(800
)
 
(755
)
 
(1,011
)
 
(993
)
 
(1,229
)
Dividends from less than 50% owned affiliates
739

 
495

 
459

 
443

 
404

Fixed charges
768

 
821

 
879

 
1,104

 
1,165

Interest capitalized, net of amortization
—

 
14

 
6

 
(7
)
 
(4
)
Earnings available for fixed charges
$
22,559

 
$
8,653

 
$
8,107

 
$
7,489

 
$
6,813

 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
Interest incurred (1)
$
750

 
$
805

 
$
861

 
$
1,087

 
$
1,148

Portion of rent expense deemed to represent interest factor
18

 
16

 
18

 
17

 
17

Fixed charges
$
768

 
$
821

 
$
879

 
$
1,104

 
$
1,165

 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges (2)
29.4

 
10.5

 
9.2

 
6.8

 
5.8

 
 
 
 
 
 
 
 
 
 
(1) Altria Group, Inc. includes interest relating to uncertain tax positions in its provision for income taxes, therefore such amounts are not included in fixed charges in the computation.
(2) The ratio of earnings to fixed charges for the year ended December 31, 2016 includes the Gain on AB InBev/SABMiller business combination. Excluding this gain, the ratio of earnings to fixed charges would have been 11.3 for the year ended December 31, 2016.


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