Exhibit 12
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
First Quarter | For the Years Ended December 31, | |||||||||||||||||||||
2006 | 2005 | 2004 | 2003 | 2002 | 2001 | |||||||||||||||||
(in millions) | ||||||||||||||||||||||
Earnings | ||||||||||||||||||||||
| Income from continuing operations | ||||||||||||||||||||||
| before income taxes | $ | 751 | $ | 3,861 | $ | 4,431 | $ | 2,956 | $ | 1,979 | $ | 1,493 | ||||||||||
| Less: Equity in net income/(loss) | ||||||||||||||||||||||
| of affiliated companies | 6 | 11 | (2 | ) | 12 | 13 | 5 | |||||||||||||||
| Fixed charges | 1,684 | 5,868 | 5,364 | 5,865 | 6,965 | 8,958 | ||||||||||||||||
| Earnings before fixed charges | $ | 2,429 | $ | 9,718 | $ | 9,797 | $ | 8,809 | $ | 8,931 | $ | 10,446 | ||||||||||
Fixed charges | ||||||||||||||||||||||
| Interest expense | $ | 1,677 | $ | 5,842 | $ | 5,333 | $ | 5,831 | $ | 6,929 | $ | 8,922 | ||||||||||
| Rents | 7 | 26 | 31 | 34 | 36 | 36 | ||||||||||||||||
| Total fixed charges | $ | 1,684 | $ | 5,868 | $ | 5,364 | $ | 5,865 | $ | 6,965 | $ | 8,958 | ||||||||||
| Ratio of earnings to fixed charges | 1.44 | 1.66 | 1.83 | 1.50 | 1.28 | 1.17 | ||||||||||||||||
For purposes of our ratio, earnings consist of the sum of pre-tax income from continuing operations before adjustment for minority interests in consolidated subsidiaries, less equity in net income or loss of affiliated companies, plus fixed charges. Fixed charges consist of interest on borrowed funds, amortization of debt discount, premium, and issuance expense, and one-third of all rental expense (the proportion deemed representative of the interest factor).