Eaton Corporation plc
Second Quarter 2016 Report on Form 10-Q
Item 6
Exhibit 12
Ratio of Earnings to Fixed Charges
| Six months ended June 30 | Year ended December 31 | |||||||||||||||||||||||
| (Millions of dollars) | 2016 | 2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||||
Income from continuing operations before income taxes and noncontrolling interests in consolidated subsidiaries | $ | 995 | $ | 2,145 | $ | 1,761 | $ | 1,884 | $ | 1,251 | $ | 1,553 | ||||||||||||
Adjustments | ||||||||||||||||||||||||
| (Income) losses of equity investees | (7 | ) | (11 | ) | (6 | ) | 2 | (2 | ) | (2 | ) | |||||||||||||
| Distributed income of equity investees | 5 | 9 | 4 | 77 | 19 | 3 | ||||||||||||||||||
| Interest expensed | 118 | 237 | 250 | 290 | 165 | 154 | ||||||||||||||||||
| Amortization of debt issue costs | 4 | 8 | 9 | 10 | 74 | 4 | ||||||||||||||||||
| Estimated portion of rent expense representing interest | 37 | 75 | 81 | 80 | 66 | 65 | ||||||||||||||||||
| Amortization of capitalized interest | 7 | 10 | 14 | 13 | 12 | 10 | ||||||||||||||||||
Adjusted income from continuing operations before income taxes | $ | 1,159 | $ | 2,473 | $ | 2,113 | $ | 2,356 | $ | 1,585 | $ | 1,787 | ||||||||||||
Fixed charges | ||||||||||||||||||||||||
| Interest expensed | $ | 118 | $ | 237 | $ | 250 | $ | 290 | $ | 165 | $ | 154 | ||||||||||||
| Interest capitalized | 6 | 13 | 13 | 11 | 23 | 18 | ||||||||||||||||||
| Amortization of debt issue costs | 4 | 8 | 9 | 10 | 74 | 4 | ||||||||||||||||||
| Estimated portion of rent expense representing interest | 37 | 75 | 81 | 80 | 66 | 65 | ||||||||||||||||||
| Total fixed charges | $ | 165 | $ | 333 | $ | 353 | $ | 391 | $ | 328 | $ | 241 | ||||||||||||
| Ratio of earnings to fixed charges | 7.02 | 7.43 | 5.99 | 6.03 | 4.83 | 7.41 | ||||||||||||||||||