EXHIBIT 12
COLGATE-PALMOLIVE COMPANY
(Dollars in Millions Except Per Share Amounts)
Years Ended December 31, | ||||||||||||||||||||
2009 | 2008(A) | 2007(A) | 2006(A) | 2005(A) | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Income before income taxes | $ | 3,538 | $ | 3,005 | $ | 2,563 | $ | 2,059 | $ | 2,134 | ||||||||||
Add: | ||||||||||||||||||||
Interest on indebtedness and amortization of debt expense and discount or premium | 88 | 106 | 167 | 167 | 142 | |||||||||||||||
Portion of rents representative of interest factor | 71 | 61 | 52 | 47 | 44 | |||||||||||||||
Loss on equity investments | — | — | — | — | — | |||||||||||||||
Less: | ||||||||||||||||||||
Gain on equity investments | (5 | ) | (4 | ) | (3 | ) | (3 | ) | (2 | ) | ||||||||||
Income as adjusted | $ | 3,692 | $ | 3,168 | $ | 2,779 | $ | 2,270 | $ | 2,318 | ||||||||||
Fixed Charges: | ||||||||||||||||||||
Interest on indebtedness and amortization of debt expense and discount or premium | $ | 88 | $ | 106 | $ | 167 | $ | 167 | $ | 142 | ||||||||||
Portion of rents representative of interest factor | 71 | 61 | 52 | 47 | 44 | |||||||||||||||
Capitalized interest | 14 | 9 | 6 | 4 | 3 | |||||||||||||||
Total fixed charges | $ | 173 | $ | 176 | $ | 225 | $ | 218 | $ | 189 | ||||||||||
Preferred Dividends: | ||||||||||||||||||||
Dividends declared on Preference stock | 36 | 35 | 35 | 36 | 35 | |||||||||||||||
Total preferred dividends | $ | 36 | $ | 35 | $ | 35 | $ | 36 | $ | 35 | ||||||||||
Ratio of earnings to fixed charges | 21.3 | 18.0 | 12.4 | 10.4 | 12.3 | |||||||||||||||
Ratio of earnings to fixed charges and preferred dividends | 17.7 | 15.0 | 10.7 | 8.9 | 10.3 |
(A) | Prior year amounts have been recalculated to conform to the current year presentation required by the Consolidation Topic of the FASB Codification. See Note 2 to the Consolidated Financial Statements for additional information. |