EX-12.1 4 dex121.htm EXHIBIT 12.1 Exhibit 12.1

Exhibit 12.1

Computation of Ratio of Earnings to Fixed Charges

For the Years Ended December 31,

(In millions, except ratio)

 

     2007     2006     2005     2004     2003  

EARNINGS

           

Earnings before income taxes

    $ 4,368     $ 3,592     $ 2,616     $ 1,664     $ 1,532  

Interest expense

      352       361       370       425       487  

Losses (undistributed earnings) of 50% and less than 50% owned companies, net

      (57 )     (20 )     (9 )     35       (50 )

Portion of rents representative of an interest factor

      53       56       52       46       49  

Amortization of debt premium and discount, net

      (6 )     (5 )     (5 )     (5 )     —    
                                        

Adjusted earnings before income taxes

    $ 4,710     $ 3,984     $ 3,024     $ 2,165     $ 2,018  
                                        

FIXED CHARGES

           

Interest expense

    $ 352     $ 361     $ 370     $ 425     $ 487  

Portion of rents representative of an interest factor

      53       56       52       46       49  

Amortization of debt premium and discount, net

      (6 )     (5 )     (5 )     (5 )     —    

Capitalized interest

      —         —         —         —         —    
                                        

Total fixed charges

    $ 399     $ 412     $ 417     $ 466     $ 536  
                                        

RATIO OF EARNINGS TO FIXED CHARGES

      11.8       9.7       7.3       4.6       3.8