EXHIBIT 12
MASCO CORPORATION AND CONSOLIDATED SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS
<Table>
<Caption>
(DOLLARS IN MILLIONS)
YEAR ENDED DECEMBER 31
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2003 2002 2001 2000 1999
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EARNINGS BEFORE INCOME TAXES AND FIXED CHARGES:
Income from continuing operations before income
taxes and cumulative effect of accounting
change, net.................................... $1,216 $1,001 $305 $ 873 $860
(Deduct) add equity in undistributed (earnings)
loss of fifty-percent-or-less-owned
companies...................................... -- (10) (1) (10) (19)
Add interest on indebtedness, net................. 254 229 233 193 121
Add amortization of debt expense.................. 12 13 10 2 1
Add estimated interest factor for rentals......... 33 26 23 18 15
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Earnings before income taxes and cumulative effect
of accounting change, net and fixed charges.... $1,515 $1,259 $570 $1,076 $978
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FIXED CHARGES:
Interest on indebtedness.......................... $ 255 $ 228 $238 $ 201 $125
Amortization of debt expense...................... 12 13 10 2 1
Estimated interest factor for rentals............. 33 26 23 18 15
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Total fixed charges............................ $ 300 $ 267 $271 $ 221 $141
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PREFERRED STOCK DIVIDENDS (A)....................... $ 16 $ 14 7 -- --
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Combined fixed charges and preferred stock
dividends...................................... $ 316 $ 281 $278 $ 221 $141
====== ====== ==== ====== ====
RATIO OF EARNINGS TO FIXED CHARGES.................. 5.1 4.7 2.1 4.9 6.9
====== ====== ==== ====== ====
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS (B)(C).................. 4.8 4.5 2.1 4.9 6.9
====== ====== ==== ====== ====
</Table>
(A) Represents amount of income before provision for income taxes required to
meet the preferred stock dividend requirements of the Company.
(B) Excluding the 2003 pre-tax income for litigation settlement of $72 million
and the non-cash, pre-tax goodwill impairment charge of $142 million, the
2002 pre-tax charge for litigation settlement, net of $147 million, the 2001
non-cash, pre-tax charge of $530 million and the 2000 non-cash, pre-tax
charge of $145 million, the Ratio of Earnings to Combined Fixed Charges and
Preferred Stock Dividends would be 5.0, 5.0, 4.0, and 5.5 for 2003, 2002,
2001 and 2000, respectively.
(C) Prior years have not been adjusted to exclude goodwill amortization expense.