Exhibit 12.1
RATIO OF EARNINGS TO FIXED CHARGES
|
| | | | | | | | | | | | | | | | | | | | | | | | |
| | | Nine Months Ended September 30 | | Year Ended December 31 |
| ($ in millions) | | 2013 | | 2012 | | 2011(2) | | 2010 | | 2009 | | 2008(1) |
| Earnings: | | | | | | | | | | | | |
| Earnings from continuing operations before income taxes | | $ | 251 |
| | $ | 241 |
| | $ | (4 | ) | | $ | 199 |
| | $ | 168 |
| | $ | (2,372 | ) |
| Amortization of Capitalized Interest | | 2 |
| | 2 |
| | 3 |
| | 4 |
| | 3 |
| | 3 |
|
| Interest Capitalized | | (1 | ) | | (2 | ) | | (2 | ) | | (3 | ) | | (8 | ) | | (4 | ) |
| Net adjustment for earnings from affiliates | | (8 | ) | | 2 |
| | — |
| | — |
| | — |
| | — |
|
| Fixed Charges: | | | | | | | | | | | | |
| Interest expensed and capitalized, including amortization of debt issuance | | 88 |
| | 119 |
| | 106 |
| | 43 |
| | 44 |
| | 44 |
|
Portion of rental expenses on operating leases deemed to be representative of the interest factor (3) | | 11 |
| | 15 |
| | 15 |
| | 15 |
| | 16 |
| | 14 |
|
| Total Earnings | | $ | 343 |
| | $ | 377 |
| | $ | 118 |
| | $ | 258 |
| | $ | 223 |
| | $ | (2,315 | ) |
| Fixed Charges: | | $ | 99 |
| | $ | 134 |
| | $ | 121 |
| | $ | 58 |
| | $ | 60 |
| | $ | 58 |
|
| Ratio of earnings to fixed charges | | 3.5 |
| | 2.8 |
| | 1.0 |
| | 4.4 |
| | 3.7 |
| | — |
|
(1) For the year ended December 31, 2008, the company’s earnings were insufficient to cover fixed charges by $2,373 million.
(2) For the year ended December 31, 2011, the company recorded a non-cash goodwill impairment charge of $290 million.
(3) The proportion of rental expense deemed to be representative of the interest factor is one third.
