Exhibit 12 Motorola, Inc. Ratio of Earnings to Fixed Charges Nine Months Ended Years Ended December 31, ----------------- ----------------------------------------------- Sept. 30, Oct. 2, (In Millions) 2000 1999 1999 1998 (4) 1997 1996 1995 ----------------- ----------------------------------------------- Pretax income (loss) (1) $1,888 $ 873 $1,434 $(1,230) $1,814 $1,626 $3,248 Capitalized interest $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 $ 0 Fixed charges (as calculated below) $ 498 $ 406 $ 568 $ 460 $ 342 $ 388 $ 295 ----------------- ----------------------------------------------- Earnings (2) $2,386 $1,279 $2,002 $ (770) $2,156 $2,014 $3,543 ================= =============================================== Fixed charges: Interest expense (5) $ 414 $ 287 $ 399 $ 348 $ 234 $ 290 $ 230 Rent expense interest factor $ 84 $ 119 $ 169 $ 112 $ 108 $ 98 $ 65 ----------------- ----------------------------------------------- Total fixed charges (3) $ 498 $ 406 $ 568 $ 460 $ 342 $ 388 $ 295 ================= =============================================== Ratio of earnings to fixed charges 4.8 3.2 3.5 -- 6.3 5.2 12.0 ================= =============================================== (1) After adjustments required by Item 503 (d)(3)(ii),(iii) and (iv) of SEC Regulation S-K. (2) As defined in Item 503 (d)(3) of SEC Regulation S-K. (3) As defined in Item 503 (d)(4) of SEC Regulation S-K. (4) Earnings were inadequate for the year ended December 31, 1998, by $1.2 billion to cover fixed charges. (5) The Company was a guarantor of Iridium's $750 million guaranteed credit agreement. On November 15, 1999, the Company satisfied its guarantee obligations under this agreement by paying approximately $743 million to the banks providing loans under the agreement. Included with this payment was approximately $3 million in interest charges which have been aggregated in the 1999 total interest expense used for the calculation of total fixed charges.