<Page 21> Exhibit 12-A
FORD MOTOR CREDIT COMPANY AND SUBSIDIARIES
CALCULATION OF RATIO OF EARNINGS
TO FIXED CHARGES
(dollar amounts in millions)
Nine Months For the Years Ended December 31
-------------------- -----------------------------------------------------
1997 1996 1996 1995 1994 1993 1992
--------- --------- --------- --------- --------- --------- ---------
Fixed Charges
Interest expense $ 4,876.0 $ 4,647.2 $ 6,235.7 $ 5,987.8 $ 4,226.3 $ 3,699.9 $ 4,184.3
Rents 17.3 15.1 22.2 19.5 16.9 13.0 10.8
--------- --------- --------- --------- --------- --------- ---------
Total fixed
charges 4,893.3 4,662.3 6,257.9 6,007.3 4,243.2 3,712.9 4,195.1
Earnings
Income before income
taxes and cumulative
effects of changes in
accounting principles 1,381.4 1,686.8 2,240.2 2,327.8 2,335.5 2,147.5 1,585.8
Less equity in net income
of affiliated companies 0.7 50.7 55.3 255.4 232.5 198.0 155.0
Less minority interest
in net income of
subsidiaries 40.2 53.0 68.0 65.5 59.3 44.6 42.3
--------- --------- --------- --------- --------- --------- ---------
Earnings before fixed
charges $ 6,233.8 $ 6,245.4 $ 8,374.8 $ 8,014.2 $ 6,286.9 $ 5,617.8 $ 5,583.6
========= ========= ========= ========= ========= ========= =========
Ratio of earnings to
fixed charges 1.3 1.3 1.3 1.3 1.5 1.5 1.3
========= ========= ========= ========= ========= ========= =========
[FN]
For purposes of the Ford Credit ratio, earnings consist of income before taxes
and cumulative effects of changes in accounting principles and fixed charges.
Income before income taxes and cumulative effects of changes in accounting
principles of Ford Credit includes the equity in net income of all
unconsolidated affiliates and minority interest in net income of subsidiaries.
Fixed charges consist of interest on borrowed funds,(there are no cumulative
dividend requirements on subsidiary preferred stock) amortization of debt
discount, premium, and insurance expense, and one-third of all rental expense
(the proportion deemed representative of the interest factor).
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