EXHIBIT 12.1
Murphy Oil Corporation and Consolidated Subsidiaries
Computation of Ratio of Earnings to Fixed Charges (unaudited)
(Thousands of dollars)
| Years Ended December 31, | ||||||||||||||||||
| Six Months Ended June 30, 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||
Income from continuing operations before income taxes | $ | 1,627,517 | 1,237,232 | 1,038,398 | 1,385,115 | 810,812 | 374,851 | |||||||||||
Distributions (less than) greater than equity in earnings of affiliates | (521 | ) | 294 | (4,065 | ) | (5,514 | ) | (4,225 | ) | (209 | ) | |||||||
Previously capitalized interest charged to earnings during period | 11,763 | 14,585 | 11,741 | 15,564 | 14,065 | 10,457 | ||||||||||||
Interest and expense on indebtedness, excluding capitalized interest | 29,760 | 25,612 | 9,476 | 8,765 | 34,064 | 20,511 | ||||||||||||
Interest portion of rentals* | 15,334 | 13,554 | 14,021 | 9,397 | 7,908 | 9,857 | ||||||||||||
Earnings before provision for taxes and fixed charges | $ | 1,683,853 | 1,291,277 | 1,069,571 | 1,413,327 | 862,624 | 415,467 | |||||||||||
Interest and expense on indebtedness, excluding capitalized interest | 29,760 | 25,612 | 9,476 | 8,765 | 34,064 | 20,511 | ||||||||||||
Capitalized interest | 12,944 | 49,881 | 43,073 | 38,539 | 22,160 | 37,240 | ||||||||||||
Interest portion of rentals* | 15,334 | 13,554 | 14,021 | 9,397 | 7,908 | 9,857 | ||||||||||||
Total fixed charges | $ | 58,038 | 89,047 | 66,570 | 56,701 | 64,132 | 67,608 | |||||||||||
Ratio of earnings to fixed charges | 29.0 | 14.5 | 16.1 | 24.9 | 13.5 | 6.1 | ||||||||||||
| * | Calculated as one-third of rentals. Considered a reasonable approximation of interest factor. |
Ex. 12-1