Exhibit 12.1
STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(UNAUDITED)
Nine Months Ended September 30, 2016 | |||
(in millions) | |||
Fixed Charges: | |||
Interest cost and debt expense | $ | 198 | |
Interest allocable to rental expense (1) | 5 | ||
Total | $ | 203 | |
Earnings: | |||
Income before income tax expense (2) | $ | 522 | |
Income before income tax expense attributable to noncontrolling interests | (3 | ) | |
Income before income tax expense attributable to redeemable noncontrolling interests | (1 | ) | |
Equity in income of 50 percent or less owned affiliated companies | (29 | ) | |
Dividends received from 50 percent or less owned affiliated companies (3) | 15 | ||
Fixed charges | 203 | ||
Interest capitalized | (80 | ) | |
Amortization of previously capitalized interest | 3 | ||
Total | $ | 630 | |
Ratio of Earnings to Fixed Charges | 3.1 |
(1) | Represents one-third of the total operating lease rental expense which is the portion deemed to be interest. |
(2) | Represents income before income tax expense for all consolidated entities. |
(3) | Represents dividends received from equity-method investments. |