EXHIBIT 12 CASE CORPORATION AND CONSOLIDATED SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS (dollars in millions) Six Months Ended June 30, ---------- 1999 1998 ---- ---- Net income (loss).................................................. $(12) $195 Add: Interest......................................................... 151 104 Interest capitalized............................................. 2 -- Amortization of capitalized debt expense......................... 2 1 Portion of rentals representative of interest factor............. 6 5 Income tax expense and other taxes on income..................... 16 89 Fixed charges of unconsolidated subsidiaries..................... 4 2 ---- ---- Earnings as defined............................................ $169 $396 ==== ==== Interest........................................................... $151 $104 Interest capitalized............................................... 2 -- Amortization of capitalized debt expense........................... 2 1 Portion of rentals representative of interest factor............... 6 5 Fixed charges of unconsolidated subsidiaries....................... 4 2 ---- ---- Fixed charges as defined....................................... $165 $112 ==== ==== Preferred Dividends: Amount declared.................................................. $ 3 $ 3 Gross-up to pre-tax based on effective rates of 371% and 31%, respectively.................................................... $ 13 $ 4 Ratio of earnings to fixed charges and preferred dividends......... -- 3.41x ==== ==== Deficiency of earnings to fixed charges and preferred dividends.... $ (9) -- ==== ====