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Exhibit 12—page 1 of 2
Owens-Illinois, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Millions of dollars, except ratios)
| | Years ended December 31, | |||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| | 2002 | 2001 | 2000 | |||||||||
| Earnings (loss) before income taxes, minority share owners' interests, extraordinary items and cumulative effect of accounting change | $ | 16.6 | $ | 667.2 | $ | (391.6 | ) | |||||
| Less: Equity earnings | (27.0 | ) | (19.4 | ) | (19.8 | ) | ||||||
| Add: Total fixed charges deducted from earnings | 434.4 | 448.4 | 499.2 | |||||||||
| Proportional share of pre-tax earnings of 50% owned associates | 13.3 | 10.4 | 11.0 | |||||||||
| Dividends received from less than 50% owned associates | 12.0 | 9.9 | 14.5 | |||||||||
| Earnings available for payment of fixed charges | $ | 449.3 | $ | 1,116.5 | $ | 113.3 | ||||||
| Fixed charges (including the Company's proportional share of 50% owned associates): | ||||||||||||
| Interest expense | $ | 398.6 | $ | 414.2 | $ | 476.6 | ||||||
| Portion of operating lease rental deemed to be interest | 12.7 | 14.3 | 12.5 | |||||||||
| Amortization of deferred financing costs and debt discount expense | 23.1 | 19.9 | 10.1 | |||||||||
| Total fixed charges deducted from earnings | $ | 434.4 | $ | 448.4 | $ | 499.2 | ||||||
| Preferred stock dividends (increased to assumed pre-tax amount) | 30.7 | 36.7 | 21.7 | |||||||||
| Combined fixed charges and preferred stock dividends | $ | 465.1 | $ | 485.1 | $ | 520.9 | ||||||
| Ratio of earnings to fixed charges | 1.0 | 2.5 | ||||||||||
| Deficiency of earnings available to cover fixed charges | 385.9 | |||||||||||
| Ratio of earnings to combined fixed charges and preferred stock dividends | 1.0 | 2.3 | ||||||||||
| Deficiency of earnings available to cover combined fixed charges and preferred stock dividends | 407.6 | |||||||||||
EXHIBIT 12—Page 2 of 2
Owens-Illinois, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Millions of dollars, except ratios)
| | Years ended December 31, | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| | 1999 | 1998 | |||||||
| Earnings before income taxes, minority share owners' interests, and extraordinary items | $ | 497.8 | $ | 209.0 | |||||
| Less: Equity earnings | (22.3 | ) | (16.0 | ) | |||||
| Add: Total fixed charges deducted from earnings | 452.4 | 404.8 | |||||||
| Proportional share of pre-tax earnings of 50% owned associates | 10.6 | 7.2 | |||||||
| Dividends received from less than 50% owned associates | 9.8 | 6.6 | |||||||
| Earnings available for payment of fixed charges | $ | 948.3 | $ | 611.6 | |||||
| Fixed charges (including the Company's proportional share of 50% owned associates): | |||||||||
| Interest expense | $ | 417.0 | $ | 372.6 | |||||
| Portion of operating lease rental deemed to be interest | 26.5 | 24.8 | |||||||
| Amortization of deferred financing costs and debt discount expense | 8.9 | 7.4 | |||||||
| Total fixed charges deducted from earnings | $ | 452.4 | $ | 404.8 | |||||
| Preferred stock dividends (increased to assumed pre-tax amount) | 35.5 | 21.3 | |||||||
| Combined fixed charges and preferred stock dividends | $ | 487.9 | $ | 426.1 | |||||
| Ratio of earnings to fixed charges | 2.1 | 1.5 | |||||||
| Ratio of earnings to combined fixed charges and preferred stock dividends | 1.9 | 1.4 | |||||||
Owens-Illinois, Inc. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Millions of dollars, except ratios)
Owens-Illinois, Inc. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Millions of dollars, except ratios)