Exhibit 12
OWENS-ILLINOIS, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Dollars in millions)
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| Six months ended June 30, |
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| 2006 |
| 2005 |
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Earnings before income taxes, and minority share owners’ interests |
| $ | 146.4 |
| $ | 301.0 |
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Less: | Equity earnings |
| (13.7 | ) | (11.3 | ) | ||
Add: | Total fixed charges deducted from earnings |
| 255.0 |
| 242.1 |
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| Proportional share of pre-tax earnings of 50% owned associates |
| 5.4 |
| 4.5 |
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| Dividends received from equity investees |
| 34.3 |
| 1.1 |
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| Earnings available for payment of fixed charges |
| $ | 427.4 |
| $ | 537.4 |
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Fixed charges (including the Company’s proportional |
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| Interest expense |
| $ | 242.0 |
| $ | 226.7 |
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| Portion of operating lease rental deemed to be interest |
| 5.2 |
| 7.0 |
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| Amortization of deferred financing costs and debt discount expense |
| 7.8 |
| 8.4 |
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| Total fixed charges deducted from earnings and fixed charges |
| 255.0 |
| 242.1 |
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Preferred stock dividends (increased to assumed pre-tax amount) |
| 17.1 |
| 15.2 |
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Combined fixed charges and preferred stock dividends |
| $ | 272.1 |
| $ | 257.3 |
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Ratio of earnings to fixed charges |
| 1.7 |
| 2.2 |
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Ratio of earnings to combined fixed charges and preferred stock dividends |
| 1.6 |
| 2.1 |
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