EX-12.01 2 emn20180630ex1201.htm COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Exhibit


Exhibit 12.01

EASTMAN CHEMICAL COMPANY AND SUBSIDIARIES
Computation of Ratios of Earnings to Fixed Charges
 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
(Dollars in millions)
 
2018
 
2017
 
2018
 
2017
Earnings before income taxes excluding noncontrolling interest
$
428

$
357

$
778

$
697

Add:
 
 
 
 
 
 
 
 
Interest expense
 
63

 
61

 
123

 
122

Appropriate portion of rental expense (1)
 
8

 
8

 
16

 
15

Amortization of capitalized interest
 
1

 
1

 
2

 
2

Earnings as adjusted
$
500

$
427

$
919

$
836

 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
Interest expense
$
63

$
61

$
123

$
122

Appropriate portion of rental expense (1)
 
8

 
8

 
16

 
15

Capitalized interest
 
1

 
2

 
2

 
4

Total fixed charges
$
72

$
71

$
141

$
141

 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
6.9x

 
6.0x

 
6.5x

 
5.9x


(1) 
For all periods presented, the interest component of rental expense is estimated to equal one-third of such expense.