| Exhibit 12. Computation of Ratios | |||||||||||||||||||||||||||
| Ratio of Earnings to Fixed Charges | |||||||||||||||||||||||||||
| Dollars in millions | |||||||||||||||||||||||||||
| Three Months | |||||||||||||||||||||||||||
| Ended March 31, | Years Ended December 31, | ||||||||||||||||||||||||||
| 2017 | 2016 | 2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||||||||
| Earnings available for fixed charges | |||||||||||||||||||||||||||
| - Income before provision for income taxes | $ | 1,807.5 | $ | 1,576.4 | $ | 6,866.0 | $ | 6,555.7 | $ | 7,372.0 | $ | 8,204.5 | $ | 8,079.0 | |||||||||||||
- Noncontrolling interest expense in operating results of majority-owned subsidiaries less equity in undistributed operating results of less than 50%-owned affiliates | 4.1 | 3.9 | 12.5 | 7.3 | 6.3 | 9.0 | 11.1 | ||||||||||||||||||||
- Income tax provision (benefit) of 50%-owned affiliates included in income from continuing operations before provision for income taxes | 6.6 | (0.1 | ) | 3.3 | 3.7 | (0.1 | ) | 23.8 | 64.0 | ||||||||||||||||||
- Portion of rent charges (after reduction for rental income from subleased properties) considered to be representative of interest factors* | 76.4 | 87.3 | 342.6 | 365.1 | 374.6 | 374.6 | 358.1 | ||||||||||||||||||||
- Interest expense, amortization of debt discount and issuance costs, and depreciation of capitalized interest* | 222.9 | 226.1 | 904.8 | 660.4 | 596.1 | 548.9 | 550.1 | ||||||||||||||||||||
| $ | 2,117.5 | $ | 1,893.6 | $ | 8,129.2 | $ | 7,592.2 | $ | 8,348.9 | $ | 9,160.8 | $ | 9,062.3 | ||||||||||||||
| Fixed charges | |||||||||||||||||||||||||||
- Portion of rent charges (after reduction for rental income from subleased properties) considered to be representative of interest factors* | $ | 76.4 | $ | 87.3 | $ | 342.6 | $ | 365.1 | $ | 374.6 | $ | 374.6 | $ | 358.1 | |||||||||||||
- Interest expense, amortization of debt discount and issuance costs* | 219.3 | 221.9 | 888.2 | 643.7 | 579.8 | 532.1 | 532.8 | ||||||||||||||||||||
| - Capitalized interest* | 1.0 | 1.6 | 7.1 | 9.4 | 14.8 | 15.6 | 16.1 | ||||||||||||||||||||
| $ | 296.7 | $ | 310.8 | $ | 1,237.9 | $ | 1,018.2 | $ | 969.2 | $ | 922.3 | $ | 907.0 | ||||||||||||||
| Ratio of earnings to fixed charges | 7.14 | 6.09 | 6.57 | 7.46 | 8.61 | 9.93 | 9.99 | ||||||||||||||||||||
| * | Includes amounts of the Company and its majority-owned subsidiaries, and one-half of the amounts of 50%-owned affiliates. The Company records interest expense on unrecognized tax benefits in the provision for income taxes. This interest is not included in the computation of fixed charges. |