RTX (RTX) 10-Q 2014 Q3 Quarterly report

Exhibit 12

UNITED TECHNOLOGIES CORPORATION

AND SUBSIDIARIES

STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

	Nine Months Ended September 30,
(Dollars in millions)	2014			2013
Fixed Charges:
Interest expense 1	$	725		$	775
Interest capitalized	19			17
One-third of rents 2	115			108
Total fixed charges	$	859		$	900
Earnings:
Income from continuing operations before income taxes	$	6,582		$	6,200
Fixed charges per above	859			900
Less: capitalized interest	(19		)	(17		)
	840			883
Amortization of interest capitalized	11			9
Total earnings	$	7,433		$	7,092
Ratio of earnings to fixed charges	8.65			7.88

¹  Pursuant to the guidance in the Income Taxes Topic of the Financial Accounting Standards Board Accounting Standards Codification, interest related to unrecognized tax benefits recorded was approximately $27 million for each of the nine months ended September 30, 2014 and 2013. The ratio of earnings to fixed charges would have been 8.93 and 8.12 for the nine months ended September 30, 2014 and 2013, respectively, if such interest were excluded from the calculation.

²  Reasonable approximation of the interest factor.