Exhibit 12.1
UAL Corporation and Subsidiary Companies
Computation of Ratio of Earnings to Fixed Charges
and Ratio of Earnings to Fixed Charges and Preferred Stock Dividend Requirements
| Successor | Predecessor | ||||||||||||||||||||||||
| (In millions, except ratios) | Period from | Period from | |||||||||||||||||||||||
| February 1 to | January 1 to | ||||||||||||||||||||||||
| December 31, | January 31, | ||||||||||||||||||||||||
| 2008 | 2007 | 2006 | 2006 | 2005 | 2004 | ||||||||||||||||||||
| Earnings (losses): | |||||||||||||||||||||||||
| Earnings (loss) before income taxes & adjustments for minority interest and equity earnings/(losses) in affiliates | $ | (5,424 | ) | $ | 654 | $ | 29 | $ | 22,846 | $ | (21,178 | ) | $ | (1,724 | ) | ||||||||||
| Add (deduct): | |||||||||||||||||||||||||
| Fixed charges, from below | 868 | 938 | 1,069 | 63 | 775 | 606 | |||||||||||||||||||
| Distributed earnings of affiliates | 2 | 3 | 4 | — | 3 | 2 | |||||||||||||||||||
| Amortization of capitalized interest | 1 | 1 | — | 1 | 14 | 16 | |||||||||||||||||||
| Minority interest | (2 | ) | (2 | ) | (4 | ) | — | — | — | ||||||||||||||||
| Interest capitalized | (20 | ) | (19 | ) | (15 | ) | — | 3 | (1 | ) | |||||||||||||||
| Earnings (loss) as adjusted | $ | (4,575 | ) | $ | 1,575 | $ | 1,083 | $ | 22,910 | $ | (20,383 | ) | $ | (1,101 | ) | ||||||||||
| Fixed charges: | |||||||||||||||||||||||||
| Interest expensed and capitalized and amortization of debt discounts and issuance costs (a) | $ | 571 | $ | 704 | $ | 746 | $ | 42 | $ | 484 | $ | 448 | |||||||||||||
| Portion of rental expense representative of the interest factor | 297 | 234 | 323 | 21 | 291 | 158 | |||||||||||||||||||
| Fixed charges, as above | 868 | 938 | 1,069 | 63 | 775 | 606 | |||||||||||||||||||
| Preferred stock dividend requirements (pre-tax) (b) | 3 | 18 | 21 | 1 | 10 | 10 | |||||||||||||||||||
| Fixed charges including preferred stock dividends | $ | 871 | $ | 956 | $ | 1,090 | $ | 64 | $ | 785 | $ | 616 | |||||||||||||
| Ratio of earnings to fixed charges | (c | ) | 1.68 | 1.01 | 363.65 | (c | ) | (c | ) | ||||||||||||||||
| Ratio of earnings to fixed charges and preferred dividend requirements | (c | ) | 1.65 | (d | ) | 357.97 | (c | ) | (c | ) | |||||||||||||||
| (a) | Amortization of debt discounts includes amortization of fresh-start valuation discounts. | |
| (b) | Successor Company dividends in 2007 were adjusted using an effective tax rate of 45.5%. In 2006, preferred dividends were grossed-up based on the Company’s effective tax rate only to the extent of the Company’s income tax provision for the period. | |
| (c) | Earnings were inadequate to cover both fixed charges and fixed charges and preferred dividend requirements by $5.4 billion in 2008, $21.2 billion in 2005 and $1.7 billion in 2004. | |
| (d) | Earnings were inadequate to cover combined fixed charges and preferred dividend requirements by $7 million in the 2006 Successor period. |