EX-12 4 ex12-1.txt EXHIBIT 12.1 TOYOTA MOTOR CREDIT CORPORATION CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
Three Months Ended June 30, ------------------ 2003 2002 ------ ------ (Dollars in Millions) Consolidated income/(loss) before income taxes $ 83 $ (51) ------ ------ Fixed charges: Interest.................................. 193 217 Portion of rent expense representative of the interest factor (deemed to be one-third)....................... 2 2 ------ ------ Total fixed charges.......................... 195 219 ------ ------ Earnings available for fixed charges......................... $ 278 $ 168 ====== ====== Ratio of earnings to fixed charges......................... 1.43 -* ====== ====== * TMCC's ratio of earnings to fixed charges was 1.43 for the quarter ended June 30, 2003 and less than 1:1 ratio for the quarter ended June 30, 2002. The deficiency in the ratio for the quarter ended June 30, 2002 was primarily due to a decrease in net income from financing operations due to an unfavorable fair value adjustment related to the Statement of Financial Statement Accounting Standards No. 133, "Accounting for Derivative Instruments and Hedging Activities", and related amendments. The Company would have required an additional $51 million in net income to attain a 1:1 ratio. ----------------- TMCC has guaranteed certain obligations of affiliates and subsidiaries as discussed in Note 7 - Commitments and Contingent Liabilities of the Consolidated Financial Statements. For the quarter ended June 30, 2003 and 2002, TMCC has not incurred any fixed charges in connection with such guarantees and no amount is included in any ratio of earnings to fixed charges.