Exhibit 12
FORD MOTOR CREDIT COMPANY LLC AND SUBSIDIARIES
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
First Nine | ||||||||||||||||
Months | For the Years Ended December 31, | |||||||||||||||
2008 | 2007 | 2006 | 2005 | |||||||||||||
(in millions) | ||||||||||||||||
Earnings | ||||||||||||||||
Income/(Loss) before income taxes | $ | (2,187 | ) | $ | 1,215 | $ | 1,953 | $ | 2,923 | |||||||
Less: Equity in net income/(loss) of affiliated companies | 6 | 14 | 7 | 11 | ||||||||||||
Fixed charges | 5,792 | 8,652 | 7,842 | 6,642 | ||||||||||||
Earnings before fixed charges | $ | 3,599 | $ | 9,853 | $ | 9,788 | $ | 9,554 | ||||||||
Fixed charges (a) | ||||||||||||||||
Interest expense | $ | 5,781 | $ | 8,630 | $ | 7,818 | $ | 6,616 | ||||||||
Rents | 11 | 22 | 24 | 26 | ||||||||||||
Total fixed charges | $ | 5,792 | $ | 8,652 | $ | 7,842 | $ | 6,642 | ||||||||
Ratio of earnings to fixed charges | (b) | 1.14 | 1.25 | 1.44 |
(a) | Consists 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). | |
(b) | Earnings inadequate to cover fixed charges by $2,193 million. |