EXHIBIT 12
W. R. GRACE & CO. AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(in millions except ratios)
(Unaudited)
Three Months Ended
Years Ended December 31, March 31,
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1994 (b) 1993 (c) 1992 (d) 1991 1990 1995 1994 (e)
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Net income from continuing operations. . . . . . . . . $ 83.3 $134.4 $ 57.7 $201.7 $174.6 $ 47.5 $38.2
Add (deduct):
Provision for income taxes . . . . . . . . . . . . . 55.8 86.8 134.8 132.5 97.5 27.9 10.7
Income taxes of 50%-owned companies. . . . . . . . . -- .1 2.1 1.5 1.9 -- --
Minority interest in income of
majority-owned subsidiaries. . . . . . . . . . . . -- -- -- -- 1.2 -- --
Equity in unremitted earnings of
less than 50%-owned companies. . . . . . . . . . . (2.9) (1.3) (1.8) (2.5) (2.1) (.2) (1.1)
Interest expense and related financing costs,
including amortization of capitalized interest . . 138.5 122.7 162.7 209.6 237.3 40.1 27.1
Estimated amount of rental expense
deemed to represent the interest factor. . . . . . 22.3 21.3 26.6 21.7 21.0 6.9 8.3
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Income as adjusted . . . . . . . . . . . . . . . . . . $297.0 $364.0 $382.1 $564.5 $531.4 $122.2 $83.2
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Combined fixed charges and preferred stock dividends:
Interest expense and related financing costs,
including capitalized interest . . . . . . . . . . $143.2 $122.8 $176.3 $224.5 $246.3 $43.0 $27.8
Estimated amount of rental expense
deemed to represent the interest factor. . . . . . 22.3 21.3 26.6 21.7 21.0 6.9 8.3
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Fixed charges. . . . . . . . . . . . . . . . . . . . . 165.5 144.1 202.9 246.2 267.3 49.9 36.1
Preferred stock dividend requirements (a). . . . . . . .9 .9 .9 .9 .8 .2 .2
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Combined fixed charges and preferred
stock dividends. . . . . . . . . . . . . . . . . . . $166.4 $145.0 $203.8 $247.1 $268.1 $50.1 $36.3
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Ratio of earnings to fixed charges . . . . . . . . . . 1.79 2.53 1.88 2.29 1.99 2.45 2.30
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Ratio of earnings to combined fixed charges
and preferred stock dividends. . . . . . . . . . . . 1.78 2.51 1.87 2.28 1.98 2.44 2.29
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(a) Increased to an amount representing the pretax earnings necessary to
cover such requirements based on Grace's effective tax rate for each
period presented.
(b) Includes a provision of $316.0 relating to asbestos-related insurance
coverage.
(c) Includes a provision of $159.0 relating to asbestos-related insurance
coverage.
(d) Includes a provision of $140.0 relating to a fumed silica plant in
Belgium.
(e) Restated to conform to the 1995 presentation.