Exhibit 12.1
CHEVRON CORPORATION — TOTAL ENTERPRISE BASIS
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Six Months | ||||||||||||||||||||||||
Ended | Year Ended December 31 | |||||||||||||||||||||||
June 30, 2008 | 2007 | 2006 | 2005 | 2004 | 2003 | |||||||||||||||||||
(Dollars in millions) | ||||||||||||||||||||||||
Income from Continuing Operations | $ | 11,143 | $ | 18,688 | $ | 17,138 | $ | 14,099 | $ | 13,034 | $ | 7,382 | ||||||||||||
Income Tax Expense | 10,265 | 13,479 | 14,838 | 11,098 | 7,517 | 5,294 | ||||||||||||||||||
Distributions (Less) Greater Than Equity in Earnings of Affiliates | 105 | (1,439 | ) | (979 | ) | (1,304 | ) | (1,422 | ) | (383 | ) | |||||||||||||
Minority Interest | 62 | 107 | 70 | 96 | 85 | 80 | ||||||||||||||||||
Previously Capitalized Interest Charged to Earnings During Period | 25 | 62 | 111 | 93 | 83 | 76 | ||||||||||||||||||
Interest and Debt Expense(1) | — | 166 | 451 | 482 | 406 | 474 | ||||||||||||||||||
Interest Portion of Rentals(2) | 482 | 798 | 766 | 688 | 687 | 507 | ||||||||||||||||||
Earnings Before Provision for Taxes and Fixed Charges | $ | 22,082 | $ | 31,861 | $ | 32,395 | $ | 25,252 | $ | 20,390 | $ | 13,430 | ||||||||||||
Interest and Debt Expense(1) | $ | — | $ | 166 | $ | 451 | $ | 482 | $ | 406 | $ | 474 | ||||||||||||
Interest Portion of Rentals(2) | 482 | 798 | 766 | 688 | 687 | 507 | ||||||||||||||||||
Preferred Stock Dividends of Subsidiaries | — | 1 | 1 | 1 | 1 | 4 | ||||||||||||||||||
Capitalized Interest | 146 | 302 | 157 | 60 | 44 | 75 | ||||||||||||||||||
Total Fixed Charges | $ | 628 | $ | 1,267 | $ | 1,375 | $ | 1,231 | $ | 1,138 | $ | 1,060 | ||||||||||||
Ratio of Earnings to Fixed Charges | 35.16 | 25.15 | 23.56 | 20.51 | 17.92 | 12.67 |
(1) | Does not include interest related to liabilities for uncertain tax positions. On the Consolidated Statement of Income, the company reports interest and penalties related to liabilities for uncertain tax positions as “Income tax expense.” | |
(2) | Calculated as one-third of rentals. Considered a reasonable approximation of interest factor. |
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