Exhibit 12
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
FOR THE YEAR ENDED DECEMBER 31,
(in millions, except ratios)
2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Income (loss) from continuing operations before income taxes | $ | 548 | $ | (1,498 | ) | $ | 792 | $ | 4,802 | $ | 3,515 | |||||||||
Noncontrolling interests’ share of earnings of majority-owned subsidiaries without fixed charges | — | — | — | — | — | |||||||||||||||
Equity income | (54 | ) | (17 | ) | (130 | ) | (168 | ) | (127 | ) | ||||||||||
Fixed charges added to earnings | 532 | 508 | 452 | 454 | 436 | |||||||||||||||
Distributed income of less than 50 percent-owned persons | 33 | 56 | 81 | 51 | 37 | |||||||||||||||
Amortization of capitalized interest: | ||||||||||||||||||||
Consolidated | 39 | 30 | 26 | 21 | 21 | |||||||||||||||
Proportionate share of 50 percent-owned persons | — | — | — | — | — | |||||||||||||||
Total earnings | $ | 1,098 | $ | (921 | ) | $ | 1,221 | $ | 5,160 | $ | 3,882 | |||||||||
Fixed Charges: | ||||||||||||||||||||
Interest expense: | ||||||||||||||||||||
Consolidated | $ | 494 | $ | 470 | $ | 407 | $ | 401 | $ | 384 | ||||||||||
Proportionate share of 50 percent-owned persons | — | — | 1 | 3 | 5 | |||||||||||||||
494 | 470 | 408 | 404 | 389 | ||||||||||||||||
Amount representative of the interest factor in rents: | ||||||||||||||||||||
Consolidated | 38 | 38 | 43 | 48 | 45 | |||||||||||||||
Proportionate share of 50 percent-owned persons | — | — | 1 | 2 | 2 | |||||||||||||||
38 | 38 | 44 | 50 | 47 | ||||||||||||||||
Fixed charges added to earnings | 532 | 508 | 452 | 454 | 436 | |||||||||||||||
Interest capitalized: | ||||||||||||||||||||
Consolidated | 96 | 165 | 167 | 199 | 128 | |||||||||||||||
Proportionate share of 50 percent-owned persons | — | — | 2 | 4 | 2 | |||||||||||||||
96 | 165 | 169 | 203 | 130 | ||||||||||||||||
Preferred stock dividend requirements of majority-owned subsidiaries | — | — | — | — | — | |||||||||||||||
Total fixed charges | $ | 628 | $ | 673 | $ | 621 | $ | 657 | $ | 566 | ||||||||||
Ratio of earnings to fixed charges | 1.7 | (A | ) | 2.0 | 7.9 | 6.9 | ||||||||||||||
(A) For the year ended December 31, 2009, there was a deficiency of earnings to cover the fixed charges of $1,594.