Exhibit 12.1
Federal-Mogul Corporation
Computation of Ratio of Earnings to Fixed Charges
| (Dollars in millions) | Year Ended December 31, | |||||||||||||||||||
| 2012 | 2011 | 2010 | 2009 | 2008 | ||||||||||||||||
Pre-tax income from continuing operations before adjustment for income or loss from equity investees | (153 | ) | (100 | ) | 150 | (77 | ) | (467 | ) | |||||||||||
Add: | ||||||||||||||||||||
Fixed Charges | 166 | 166 | 168 | 174 | 262 | |||||||||||||||
Distributed income of equity investees | 31 | 16 | 43 | 7 | 33 | |||||||||||||||
Subtract: | ||||||||||||||||||||
Noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges | 7 | 7 | 6 | 12 | 3 | |||||||||||||||
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Earnings as defined | 37 | 75 | 355 | 92 | (175 | ) | ||||||||||||||
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Fixed Charges | ||||||||||||||||||||
Interest expensed and capitalized | 133 | 133 | 135 | 140 | 228 | |||||||||||||||
Amortized premiums, discounts and capitalized expenses related to indebtedness | 22 | 22 | 22 | 22 | 22 | |||||||||||||||
Estimate of the interest within rental expense (1) | 11 | 11 | 11 | 12 | 12 | |||||||||||||||
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| 166 | 166 | 168 | 174 | 262 | ||||||||||||||||
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Ratio of earnings to fixed charges | (2) | (2) | 2.1 | (2) | (2) | |||||||||||||||
| (1) | Estimated as one-fifth of operating lease expense |
| (2) | For the years ended December 31, 2012, 2011, 2009 and 2008, the ratio was less than 1:1. Additional earnings of $129 million, $91 million, $82 million and $437 million, respectively, would have been needed to achieve coverage of 1:1 for the respective years. |
