Dow Chemical 10-Q 2016 Q1 Quarterly report

The Dow Chemical Company and Subsidiaries EXHIBIT 12.1

Computation of Ratio of Earnings to Fixed Charges and Combined

Fixed Charges and Preferred Stock Dividend Requirements

	Three Months Ended						For the Years Ended December 31
In millions, except ratios (Unaudited)	Mar 31, 2016			Mar 31, 2015			2015			2014			2013			2012			2011
Income Before Income Taxes	$	165		$	2,205		$	9,930		$	5,265		$	6,804		$	1,665		$	3,601
Add (deduct):
Equity in earnings of nonconsolidated affiliates	(39		)	(168		)	(674		)	(835		)	(1,034		)	(536		)	(1,223		)
Distributed income of earnings of     nonconsolidated affiliates	399			577			816			961			905			823			1,016
Capitalized interest	(60		)	(49		)	(218		)	(125		)	(78		)	(84		)	(90		)
Amortization of capitalized interest	22			20			78			83			91			90			100
Adjusted earnings	$	487		$	2,585		$	9,932		$	5,349		$	6,688		$	1,958		$	3,404
Fixed charges:
Interest expense and amortization of debt     discount	$	201		$	241		$	946		$	983		$	1,101		$	1,269		$	1,341
Capitalized interest	60			49			218			125			78			84			90
Rental expense – interest component	36			40			167			134			122			120			112
Total fixed charges	$	297		$	330		$	1,331		$	1,242		$	1,301		$	1,473		$	1,543
Earnings available for the payment of     fixed charges	$	784		$	2,915		$	11,263		$	6,591		$	7,989		$	3,431		$	4,947
Ratio of earnings to fixed charges	2.6			8.8			8.5			5.3			6.1			2.3			3.2
Earnings required for combined fixed     charges and preferred stock dividends:
Preferred stock dividends	$	85		$	85		$	340		$	340		$	340		$	340		$	340
Adjustment to pretax basis (at 35 percent)	46			46			183			183			183			183			183
Preferred stock dividends - pretax	$	131		$	131		$	523		$	523		$	523		$	523		$	523
Combined fixed charges and preferred stock     dividend requirements	$	428		$	461		$	1,854		$	1,765		$	1,824		$	1,996		$	2,066
Ratio of earnings to combined fixed charges     and preferred stock dividend requirements	1.8			6.3			6.1			3.7			4.4			1.7			2.4

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