Occidental Petroleum (OXY) 10-Q 2014 Q3 Quarterly report

EXHIBIT 12

OCCIDENTAL PETROLEUM CORPORATION AND SUBSIDIARIES

COMPUTATION OF TOTAL ENTERPRISE RATIOS OF EARNINGS TO FIXED CHARGES

(Amounts in millions, except ratios)

	Nine Months Ended September 30					Year Ended December 31
	2014			2013		2013		2012		2011				2010			2009
Income from continuing operations (a)	$	4,038		$	4,274	$	5,922	$	4,635	$	6,640			$	4,641		$	3,202
Add/(Subtract):
Net income attributable to noncontrolling interest	(8		)	—		—		—		—				(72		)	(51		)
Adjusted income from equity investments (b)	44			82		52		163		(33		)		(60		)	(88		)
	4,074			4,356		5,974		4,798		6,607				4,509			3,063
Add:
Provision for taxes on income (other than foreign oil and gas taxes)	1,297			1,335		1,894		708		1,795				1,099			695
Interest and debt expense	52			93		118		130		135			(c)	116			140
Portion of lease rentals representative of the interest factor	35			44		68		59		60				57			57
	1,384			1,472		2,080		897		1,990				1,272			892
Earnings before fixed charges	$	5,458		$	5,828	$	8,054	$	5,695	$	8,597			$	5,781		$	3,955
Fixed charges:
Interest and debt expense including capitalized interest	$	194		$	203	$	269	$	254	$	221		(c)	$	203		$	218
Portion of lease rentals representative of the interest factor	35			44		68		59		60				57			57
Total fixed charges	$	229		$	247	$	337	$	313	$	281			$	260		$	275
Ratio of earnings to fixed charges	23.87			23.60		23.90		18.19		30.59				22.23			14.38

Note: Argentine operations have been reflected as discontinued operations for all periods.
(a)	The year ended December 31, 2013 amount includes a $665 million after-tax gain for the sale of a portion of an investment in the General Partner of Plains All-American Pipeline L.P., a $63 million after-tax gain for the sale of an investment in Carbocloro, a Brazilian chemical facility and $395 million of after-tax charges related to the impairment of non-producing domestic acreage. The year ended December 31, 2012 amount includes after-tax charges of $1.1 billion for the impairment of domestic gas assets and related items.
(b)	Represents adjustments to arrive at distributed income from equity investees.
(c)	Excludes a pre-tax charge of $163 million for the early redemption of debt.