Exhibit 12
General Electric Company
Ratio of Earnings to Fixed Charges
(Dollars in millions) | Years ended December 31 | |||||
1996 | 1997 | 1998 | 1999 | 2000 | ||
GE except GECS | ||||||
Earnings (a) | $9,677 | $10,132 | $12,230 | $14,103 | $16,747 | |
Less: | Equity in undistributed earnings of General Electric | |||||
Capital Services, Inc. (b) | (1,836) | (1,597) | (2,124) | (2,776) | (3,370) | |
Plus: | Interest and other financial charges included in expense | 595 | 797 | 883 | 810 | 811 |
One-third of rental expense (c) | 171 | 179 | 189 | 202 | 216 | |
Adjusted "earnings" | $8,607 | $9,511 | $11,178 | $12,339 | $14,404 | |
Fixed Charges: | ||||||
Interest and other financial charges | $595 | $797 | $883 | $810 | $811 | |
Interest capitalized | 19 | 31 | 38 | 36 | 3 | |
One-third of rental expense (c) | 171 | 179 | 189 | 202 | 216 | |
Total fixed charges | $785 | $1,007 | $1,110 | $1,048 | $1,030 | |
Ratio of earnings to fixed charges | 10.96 | 9.44 | 10.07 | 11.78 | 13.98 | |
General Electric Company and consolidated affiliates | ||||||
Earnings (a) | $11,075 | $11,419 | $13,742 | $15,942 | $18,873 | |
Plus: | Interest and other financial charges included in expense | 7,939 | 8,445 | 9,821 | 10,174 | 11,903 |
One-third of rental expense (c) | 353 | 423 | 486 | 558 | 608 | |
Adjusted "earnings" | $19,367 | $20,287 | $24,049 | $26,674 | $31,384 | |
Fixed Charges: | ||||||
Interest and other financial charges | $7,939 | $8,445 | $9,821 | $10,174 | $11,903 | |
Interest capitalized | 60 | 83 | 126 | 123 | 124 | |
One-third of rental expense (c) | 353 | 423 | 486 | 558 | 608 | |
Total fixed charges | $8,352 | $8,951 | $10,433 | $10,855 | $12,635 | |
Ratio of earnings to fixed charges | 2.32 | 2.27 | 2.31 | 2.46 | 2.48 | |
(a) Earnings before income taxes and minority interest. (b) Earnings after income taxes, net of dividends. (c) Considered to be representative of interest factor in rental expense. |