EX-12 5 exh12.htm EXH. 12 CALC. OF RATIO EARNINGS TO FIXED ASSETS

Exhibit 12

 

TEREX CORPORATION

CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES

(amounts in millions)

 

 

 

 

Three Months Ended

June 30,

 

Six Months Ended

June 30,

 

 

2008

 

2007

 

2008

 

2007

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

$

353.1

 

$

271.3

 

$

599.6

 

$

453.3

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

Minority interest in losses of consolidated subsidiaries

 

 

0.9

 

 

1.1

 

 

1.7

 

 

2.2

Undistributed (income) loss of less than 50% owned investments

 

 

0.3

 

 

(0.2)

 

 

(0.6)

 

 

(0.9)

Fixed charges

 

 

30.3

 

 

21.1

 

 

62.0

 

 

44.7

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings

 

$

384.6

 

$

293.3

 

$

662.7

 

$

499.3

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, including debt discount amortization

 

$

24.3

 

$

14.7

 

$

49.8

 

$

28.9

Amortization/writeoff of debt issuance costs

 

 

0.8

 

 

0.5

 

 

1.6

 

 

4.2

Portion of rental expense representative of interest factor (assumed to be 33%)

 

 

5.2

 

 

5.9

 

 

10.6

 

 

11.6

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges

 

$

30.3

 

$

21.1

 

$

62.0

 

$

44.7

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

 

12.7x

 

 

13.9x

 

 

10.7x

 

 

11.2x

 

 

 

 

 

 

 

 

 

 

 

 

 

Amount of earnings deficiency for coverage of fixed charges

 

$

-

 

 

$

-

 

$

-

 

$

-