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COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
| | For the Year Ended December 31, (Dollars in millions) | |||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | 2005 | 2006 | 2007 | 2008 | 2009 | |||||||||||||
Earnings | ||||||||||||||||||
Income from continuing operations before income taxes and cumulative effect of accounting changes | $ | 533 | $ | 2,195 | $ | 2,250 | $ | 2,057 | $ | 2,049 | ||||||||
Fixed charges | 273 | 289 | 284 | 351 | 386 | |||||||||||||
Capitalized interest | (31 | ) | (55 | ) | (51 | ) | (18 | ) | (18 | ) | ||||||||
Total earnings | $ | 775 | $ | 2,429 | $ | 2,483 | $ | 2,390 | $ | 2,417 | ||||||||
Fixed Charges | ||||||||||||||||||
Interest expense | $ | 258 | $ | 273 | $ | 267 | $ | 333 | $ | 366 | ||||||||
Estimated interest portion of rental payments(a) | 15 | 16 | 17 | 18 | 20 | |||||||||||||
Total fixed charges | $ | 273 | $ | 289 | $ | 284 | $ | 351 | $ | 386 | ||||||||
Ratio of earnings to fixed charges | 2.84 | 8.40 | 8.74 | 6.81 | 6.26 | |||||||||||||
- (a)
- Interest expense was estimated by using one-third of total rental payments.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES