Exhibit No. (12)
KIMBERLY-CLARK CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(DOLLAR AMOUNTS IN MILLIONS)
Year Ended December 31
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1996 1995 1994 1993 1992
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Consolidated Companies
Income before taxes (a) ........... $2,002.3 $104.4 $1,147.9 $492.4 $ 671.4
Interest expense .................. 186.7 245.5 270.5 249.5 255.8
Interest factor in rent expense.... 45.7 36.1 41.9 42.7 46.2
Amortization of capitalized interest 8.6 9.7 9.2 8.1 8.2
Equity Affiliates
Share of 50%-owned:
Income before income taxes ...... 49.3 40.6 48.0 35.0 38.0
Interest expense................. 9.5 18.5 15.3 13.7 10.6
Interest factor in rent expense.. .7 .8 .7 .8 .6
Amortization of capitalized interest .7 .7 .6 .6 .3
Distributed income of less than
50%-owned ....................... 48.4 25.1 41.4 41.4 56.2
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Earnings ............................ $2,351.9 $481.4 $1,575.5 $884.2 $1,087.3
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Consolidated Companies
Interest expense .................. $ 186.7 $245.5 $ 270.5 $249.5 $ 255.8
Capitalized interest .............. 13.9 8.8 20.6 28.4 20.9
Interest factor in rent expense ... 45.7 36.1 41.9 42.7 46.2
Equity Affiliates
Share of 50%-owned:
Interest and capitalized interest 9.5 18.9 15.4 13.8 15.5
Interest factor in rent expense .. .7 .8 .7 .8 .6
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Fixed charges ............. $ 256.5 $310.1 $ 349.1 $335.2 $ 339.0
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Ratio of earnings to fixed charges(a) 9.17 1.55 4.51 2.64 3.21
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Note: The Corporation has provided Midwest Express Airlines, Inc., its
former commercial airline subsidiary, with a five-year $20 million
secondary revolving credit facility for use in the event Midwest
Express does not have amounts available for borrowing under its
revolving bank credit facility. No drawings have been made on these
facilities. S.D. Warren was sold on December 20, 1994, and is
reflected as a discontinued operation in the consolidated income
statement. The Corporation is contingently liable as guarantor, or
directly liable as the original obligor for certain debt and lease
obligations of S.D. Warren Company. No losses are expected from these
arrangements and they have not been included in the computation of
earnings to fixed charges.
(a) The ratio of earnings to fixed charges includes a pretax
restructuring charge of $1,440.0 million in 1995, $378.9 million in
1993, and $250.0 million in 1992. Excluding this charge the ratio of
earnings to fixed charges was 6.20 in 1995, 3.77 in 1993 3.94 in 1992.