Exhibit 12 UNION TANK CAR COMPANY AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Dollars in Thousands) For the year ended December 31, Line ---------------------------------------------------------------- Number 1997 1996 1995 1994 1993 ------ -------- -------- -------- -------- -------- Income Available for Fixed Charges: - ------------------------------ Income from continuing operations 1 $101,250 $102,583 $ 84,465 $ 63,378 $ 49,730 Provision for federal income taxes and foreign taxes 2 55,038 58,398 44,975 38,435 38,332 Provision for state income taxes 3 2,081 1,208 1,053 1,706 2,420 Fixed charges (line 8) 4 91,102 88,215 92,764 98,807 101,973 -------- -------- -------- -------- -------- Income available for fixed charges 5 $249,471 $250,404 $223,257 $202,326 $192,455 ======== ======== ======== ======== ======== Fixed Charges: - ------------------------------ Interest expenses (including amortization of debt discount) as shown on the consolidated statement of income 6 $ 75,356 $ 72,138 $ 81,179 $ 91,442 $ 96,584 Add interest portion of rent expense 7 15,746 16,077 11,585 7,365 5,389 -------- -------- -------- -------- -------- Total fixed charges 8 $ 91,102 $ 88,215 $ 92,764 $ 98,807 $101,973 ======== ======== ======== ======== ======== Number of times fixed charges were earned (line 5/line 8) 2.74 x 2.84 x 2.41 x 2.05 x 1.89 x ======== ======== ======== ======== ======== -45-