Exhibit 12
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MCI COMMUNICATIONS CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(In millions, except ratio amounts)
(unaudited)
Six Months Ended
June 30, Year Ended December 31,
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1997 1996 1996 1995 1994 1993 1992
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Earnings:
Income before
income taxes and
extraordinary item(a) $934 $975 $1,955 $ 897 $1,280 $1,045 $ 963
Add:
Fixed charges 280 211 460 344 315 315 346
Less:
Capitalized interest 75 51 118 93 78 61 52
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Total earnings $1,139 $1,135 $2,297 $1,148 $1,517 $1,299 $1,257
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Fixed Charges:
Fixed charges on
indebtedness,
including amortization
of debt discount and
premium(a) $221 $158 $ 349 $ 242 $ 231 $ 239 $ 270
Interest portion of
operating lease
rentals(b) 59 53 111 102 84 76 76
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Total fixed charges $280 $211 $ 460 $ 344 $ 315 $ 315 $ 346
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Ratio of earnings to
fixed charges 4.07 5.38 4.99 3.34 4.82 4.12 3.63
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(a) Includes distributions on subsidiary Trust mandatorily redeemable preferred
securities.
(b) The interest portion of operating lease rentals is calculated as one third
of rent expense which represents a reasonable approximation of the interest
factor.