EXHIBIT 12
Alcoa and subsidiaries
Computation of Ratio of Earnings to Fixed Charges
For the nine months ended September 30, 2006
(in millions, except ratio)
Nine months ended September 30, | 2006 | |||
Earnings: | ||||
Income from continuing operations before taxes on income | $ | 3,077 | ||
Minority interests’ share of earnings of majority-owned subsidiaries without fixed charges | — | |||
Equity income | (61 | ) | ||
Fixed charges | 332 | |||
Distributed income of less than 50%-owned persons | 27 | |||
Amortization of capitalized interest | 16 | |||
Total earnings | $ | 3,391 | ||
Fixed Charges: | ||||
Interest expense: | ||||
Consolidated | $ | 291 | ||
Proportionate share of 50%-owned persons | 4 | |||
$ | 295 | |||
Amount representative of the interest factor in rents: | ||||
Consolidated | $ | 36 | ||
Proportionate share of 50%-owned persons | 1 | |||
$ | 37 | |||
Fixed charges added to earnings | $ | 332 | ||
Interest capitalized: | ||||
Consolidated | $ | 89 | ||
Proportionate share of 50%-owned persons | 1 | |||
$ | 90 | |||
Preferred stock dividend requirements of majority-owned subsidiaries | — | |||
Total fixed charges | $ | 422 | ||
Ratio of earnings to fixed charges | 8.0 | |||
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