Exhibit 12
GENERAL MOTORS COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Dollars in millions)
Successor | Predecessor | |||||||||||||||||||||||
Year Ended December 31, | July 10, 2009 Through December 31, 2009 | January 1, 2009 Through July 9, 2009 | Year Ended December 31, | |||||||||||||||||||||
2011 | 2010 | 2008 | 2007 | |||||||||||||||||||||
Income (loss) from continuing operations before income taxes and equity income(a) | $ | 5,985 | $ | 5,737 | $ | (5,283 | ) | $ | 107,776 | $ | (29,471 | ) | $ | (6,346 | ) | |||||||||
Fixed charges included in income (loss) from continuing operations | ||||||||||||||||||||||||
Interest and related charges on debt | 799 | 1,155 | 707 | 5,444 | 2,659 | 3,399 | ||||||||||||||||||
Portion of rentals deemed to be interest | 161 | 171 | 72 | 104 | 264 | 230 | ||||||||||||||||||
Interest capitalized in period | 91 | 62 | 26 | 28 | 244 | 24 | ||||||||||||||||||
Total fixed charges included in income (loss) from continuing operations | 1,051 | 1,388 | 805 | 5,576 | 3,167 | 3,653 | ||||||||||||||||||
Amortization of capitalized interest | 7 | 1 | — | 46 | 77 | 48 | ||||||||||||||||||
Equity (income) loss of Ally Financial, Inc. | — | — | — | (1,380 | ) | 6,183 | 1,245 | |||||||||||||||||
Dividends from nonconsolidated affiliates | 1,350 | 1,171 | 422 | 112 | 440 | 693 | ||||||||||||||||||
Interest capitalized | (91 | ) | (62 | ) | (26 | ) | (28 | ) | (244 | ) | (24 | ) | ||||||||||||
Earnings (losses) available for fixed charges | $ | 8,302 | $ | 8,235 | $ | (4,082 | ) | $ | 112,102 | $ | (19,848 | ) | $ | (731 | ) | |||||||||
Fixed charges included in income (loss) from continuing operations | $ | 1,051 | $ | 1,388 | $ | 805 | $ | 5,576 | $ | 3,167 | $ | 3,653 | ||||||||||||
Preferred dividends | ||||||||||||||||||||||||
Dividends on Series A and Series B Preferred Stock | $ | 859 | $ | 1,504 | $ | 131 | $ | — | $ | — | $ | — | ||||||||||||
Preferred dividends grossed up to a pre-income tax basis | $ | 844 | $ | 1,703 | $ | 162 | $ | — | $ | — | $ | — | ||||||||||||
Combined fixed charges and preferred dividends | $ | 1,895 | $ | 3,091 | $ | 967 | $ | 5,576 | $ | 3,167 | $ | 3,653 | ||||||||||||
Ratios of earnings to fixed charges | 7.90 | 5.93 | 20.10 | |||||||||||||||||||||
Ratio of earnings to combined fixed charges and preferred stock dividends | 4.38 | 2.66 | 20.10 |
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(a) | Includes Reorganization gains, net of $128.2 billion in the period January 1, 2009 through July 9, 2009. |
Earnings in the period July 10, 2009 through December 31, 2009 and the years ended December 31, 2008, and 2007 were inadequate to cover fixed charges. Additional earnings of $5.0 billion, $23.0 billion and $4.4 billion in the period July 10, 2009 through December 31, 2009 and the years ended December 31, 2008 and 2007 would have been necessary to bring ratios for these periods to 1.0.