Eaton Corporation plc
2014 Annual Report on Form 10-K
Item 15(b)
Exhibit 12
Ratio of Earnings to Fixed Charges
|
| | | | | | | | | | | | | | | | | | | | |
| | | Year ended December 31 |
| (In millions) | | 2014 | | 2013 | | 2012 | | 2011 | | 2010 |
Income from continuing operations before income taxes and noncontrolling interests in consolidated subsidiaries | | $ | 1,761 |
| | $ | 1,884 |
| | $ | 1,251 |
| | $ | 1,553 |
| | $ | 1,036 |
|
Adjustments | | | | | | | | | | |
| (Income) loss of equity investees | | (6 | ) | | 2 |
| | (2 | ) | | (2 | ) | | (14 | ) |
| Distributed income of equity investees | | 4 |
| | 77 |
| | 19 |
| | 3 |
| | 15 |
|
| Interest expensed | | 250 |
| | 290 |
| | 165 |
| | 154 |
| | 162 |
|
| Amortization of debt issue costs | | 9 |
| | 10 |
| | 74 |
| | 4 |
| | 4 |
|
| Estimated portion of rent expense representing interest | | 81 |
| | 80 |
| | 66 |
| | 65 |
| | 57 |
|
| Amortization of capitalized interest | | 14 |
| | 13 |
| | 12 |
| | 10 |
| | 10 |
|
Adjusted income from continuing operations before income taxes | | $ | 2,113 |
| | $ | 2,356 |
| | $ | 1,585 |
| | $ | 1,787 |
| | $ | 1,270 |
|
Fixed charges | | | | | | | | | | |
| Interest expensed | | $ | 250 |
| | $ | 290 |
| | $ | 165 |
| | $ | 154 |
| | $ | 162 |
|
| Interest capitalized | | 13 |
| | 11 |
| | 23 |
| | 18 |
| | 8 |
|
| Amortization of debt issue costs | | 9 |
| | 10 |
| | 74 |
| | 4 |
| | 4 |
|
| Estimated portion of rent expense representing interest | | 81 |
| | 80 |
| | 66 |
| | 65 |
| | 57 |
|
| Total fixed charges | | $ | 353 |
| | $ | 391 |
| | $ | 328 |
| | $ | 241 |
| | $ | 231 |
|
| Ratio of earnings to fixed charges | | 5.99 |
| | 6.03 |
| | 4.83 |
| | 7.41 |
| | 5.50 |
|
