1 EXHIBIT 12 RAYONIER INC. AND SUBSIDIARIES RATIO OF EARNINGS TO FIXED CHARGES (UNAUDITED) (THOUSANDS OF DOLLARS) SIX MONTHS ENDED JUNE 30, ----------------------- 1995 1994 --------- --------- Earnings: Net Income $ 51,487 $ 35,833 Add: Income Taxes 24,835 19,892 Minority Interest 16,572 17,371 Amortization of Capitalized Interest 822 706 --------- --------- 93,716 73,802 Adjustments to Earnings for Fixed Charges: Interest and Other Financial Charges 17,308 14,591 Interest Factor Attributable to Rentals 738 880 --------- --------- 18,046 15,471 --------- --------- EARNINGS AS ADJUSTED $ 111,762 $ 89,273 ========= ========= Fixed Charges: Fixed Charges above $ 18,046 $ 15,471 Capitalized Interest 511 21 --------- --------- TOTAL FIXED CHARGES $ 18,557 $ 15,492 ========= ========= RATIO OF EARNINGS AS ADJUSTED TO TOTAL FIXED CHARGES 6.02 5.76 ========= =========