Exhibit 12
MASCO CORPORATION
Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
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| Mar. 31, |
| Year Ended December 31, |
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| 2015 |
| 2014 |
| 2013 |
| 2012 |
| 2011 |
| 2010 |
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Earnings Before Income Taxes, Preferred Stock Dividends and Fixed Charges: |
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Income (loss) from continuing operations before income taxes |
| $ | 116 |
| $ | 575 |
| $ | 450 |
| $ | 73 |
| $ | (383 | ) | $ | (745 | ) |
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Deduct equity in undistributed loss (earnings) of fifty-percent- or-less-owned companies |
| — |
| 2 |
| (16 | ) | — |
| (9 | ) | — |
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Add interest on indebtedness, net |
| 55 |
| 221 |
| 230 |
| 249 |
| 250 |
| 249 |
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Add amortization of debt expense |
| 1 |
| 5 |
| 6 |
| 7 |
| 7 |
| 7 |
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Add estimated interest factor for rentals |
| 9 |
| 33 |
| 31 |
| 31 |
| 33 |
| 36 |
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Earnings (loss) before income taxes, noncontrolling interest, fixed charges and preferred stock dividends |
| $ | 181 |
| $ | 836 |
| $ | 701 |
| $ | 360 |
| $ | (102 | ) | $ | (453 | ) |
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Fixed Charges: |
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Interest on indebtedness |
| $ | 55 |
| $ | 221 |
| $ | 229 |
| $ | 248 |
| $ | 249 |
| $ | 246 |
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Amortization of debt expense |
| 1 |
| 5 |
| 6 |
| 7 |
| 7 |
| 7 |
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Estimated interest factor for rentals |
| 9 |
| 33 |
| 31 |
| 31 |
| 33 |
| 36 |
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Total fixed charges |
| $ | 65 |
| $ | 259 |
| $ | 266 |
| $ | 286 |
| $ | 289 |
| $ | 289 |
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Preferred stock dividends(a) |
| $ | — |
| $ | — |
| $ | — |
| $ | — |
| $ | — |
| $ | — |
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Combined fixed charges and preferred stock dividends |
| $ | 65 |
| $ | 259 |
| $ | 266 |
| $ | 286 |
| $ | 289 |
| $ | 289 |
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Ratio of earnings to fixed charges |
| 2.8 |
| 3.2 |
| 2.6 |
| 1.3 |
| (0.4 | ) | (1.6 | ) | ||||||
Ratio of earnings to combined fixed charges and preferred stock dividends |
| 2.8 |
| 3.2 |
| 2.6 |
| 1.3 |
| (0.4 | ) | (1.6 | ) | ||||||
Ratio of earnings to combined fixed charges and preferred stock dividends excluding certain items (b) |
| 2.8 |
| 3.2 |
| 2.6 |
| 1.7 |
| 1.2 |
| 1.0 |
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(a) | Represents amount of income before provision for income taxes required to meet the preferred stock dividend requirements of the Company. |
(b) | Excludes the 2014 litigation settlement income of $9 million; the 2012 non-cash, pre-tax impairment charge for other intangible assets of $42 million and litigation expense of $77 million; the 2011 non-cash, pre-tax impairment charge for goodwill and other intangible assets of $450 million and litigation expense of $9 million; the 2010 non-cash, pre-tax impairment charge for goodwill and other intangible assets of $698 million and non-cash, pre-tax impairment charges for financial investments of $34 million. |