Exhibit 12.1
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Year ended | ||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||
2010 Pro | ||||||||||||||||||||||||
Forma(1) | 2010 | 2009 | 2008 | 2007 | 2006 | |||||||||||||||||||
(millions except ratios) | ||||||||||||||||||||||||
Income before income taxes, equity in net income of associates and noncontrolling interest | $ | 626 | $ | 587 | $ | 522 | $ | 399 | $ | 554 | $ | 514 | ||||||||||||
Add back fixed charges: | ||||||||||||||||||||||||
Total fixed charges | 166 | 205 | 220 | 150 | 106 | 66 | ||||||||||||||||||
Dividends from associates | 5 | 5 | 12 | 9 | 6 | 5 | ||||||||||||||||||
Less: | ||||||||||||||||||||||||
Capitalized interest | (1 | ) | (1 | ) | — | (1 | ) | (2 | ) | — | ||||||||||||||
Income as adjusted | $ | 796 | $ | 796 | $ | 754 | $ | 557 | $ | 664 | $ | 585 | ||||||||||||
Fixed charges | ||||||||||||||||||||||||
Interest expense | $ | 127 | $ | 166 | $ | 174 | $ | 105 | $ | 66 | $ | 38 | ||||||||||||
Portions of rents representative of interest factor | 39 | 39 | 46 | 45 | 40 | 28 | ||||||||||||||||||
Total fixed charges | $ | 166 | $ | 205 | $ | 220 | $ | 150 | $ | 106 | $ | 66 | ||||||||||||
Ratio of earnings to fixed charges | 4.8 | 3.9 | 3.4 | 3.7 | 6.3 | 8.9 | ||||||||||||||||||
(1) | Pro forma ratio of earnings to fixed charges is calculated as if the $500m March 2009 12.875% senior notes due 2016 and drawings under our Revolving Credit Facility were replaced for the year ended December 31, 2010 with proceeds from the March 2011 4.175% Notes due 2016 and March 2011 5.750% Notes due 2021. |
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
Year ended | ||||||||||||||||||||||||
December 31, | ||||||||||||||||||||||||
2010 Pro | 2010 Pro | |||||||||||||||||||||||
Forma(1) | 2009 | 2008 | 2007 | 2006 | Forma(1) | |||||||||||||||||||
(millions except ratios) | ||||||||||||||||||||||||
Income before income taxes, equity in net income of associates and noncontrolling interest | $ | 626 | $ | 587 | $ | 522 | $ | 399 | $ | 554 | $ | 514 | ||||||||||||
Add back fixed charges: | ||||||||||||||||||||||||
Total fixed charges | 166 | 205 | 220 | 150 | 106 | 66 | ||||||||||||||||||
Dividends from associates | 5 | 5 | 12 | 9 | 6 | 5 | ||||||||||||||||||
Less: | ||||||||||||||||||||||||
Capitalized interest | (1 | ) | (1 | ) | — | (1 | ) | (2 | ) | — | ||||||||||||||
Income as adjusted | $ | 796 | $ | 796 | $ | 754 | $ | 557 | $ | 664 | $ | 585 | ||||||||||||
Fixed charges | ||||||||||||||||||||||||
Interest expense | $ | 127 | $ | 166 | $ | 174 | $ | 105 | $ | 66 | $ | 38 | ||||||||||||
Portions of rents representative of interest factor | 39 | 39 | 46 | 45 | 40 | 28 | ||||||||||||||||||
Total fixed charges | $ | 166 | $ | 205 | $ | 220 | $ | 150 | $ | 106 | $ | 66 | ||||||||||||
Preferred stock dividends | — | — | — | — | — | — | ||||||||||||||||||
Total fixed charges and preferred stock dividends | $ | 166 | $ | 205 | $ | 220 | $ | 150 | $ | 106 | $ | 66 | ||||||||||||
Ratio of earnings to fixed charges | 4.8 | 3.9 | 3.4 | 3.7 | 6.3 | 8.9 | ||||||||||||||||||
(1) | Pro forma ratio of earnings to fixed charges is calculated as if the $500m March 2009 12.875% senior notes due 2016 and drawings under our Revolving Credit Facility were replaced for the year ended December 31, 2010 with proceeds from the March 2011 4.175% Notes due 2016 and March 2011 5.750% Notes due 2021. |