American Airlines (AAL) 10-K 2002 FY Annual report

Exhibit 12

AMR CORPORATION

Computation of Ratio of Earnings to Fixed Charges

(in millions)

	1998		1999		2000		2001			2002
Earnings:
Earnings (loss) from continuing operations before income taxes, extraordinary loss and cumulative effect of accounting change	$	1,833	$	1,006	$	1,287	$	(2,756	)	$	(3,860	)
Add:  Total fixed charges (per below)	1,117		1,227		1,313		1,618			1,745
Less:  Interest capitalized	104		118		151		144			86
Total earnings (loss)	$	2,846	$	2,115	$	2,449	$	(1,282	)	$	(2,201	)
Fixed charges:
Interest	$	369	$	383	$	450	$	515		$	655
Portion of rental expense representative of the interest factor	743		832		844		1,076			1,053
Amortization of debt expense	5		12		19		27			37
Total fixed charges	$	1,117	$	1,227	$	1,313	$	1,618		$	1,745
Ratio of earnings to fixed charges	2.55		1.72		1.87		—			—
Coverage deficiency	—		—		—		$	2,900		$	3,946