1 EXHIBIT 12 CABOT CORPORATION AND CONSOLIDATED SUBSIDIARIES STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Dollars in thousands) Six Months Years ended September 30 ended ---------------------------------------------------- March 31, 1996 1995 1994 1993 1992 1991 -------------- -------- -------- -------- -------- -------- Earnings: Pre-tax income from continuing operations $127,254 $256,342 $118,325 $ 67,900 $116,599 $ 62,362 Distributed income of affiliated companies 5,825 11,699 5,638 5,988 5,766 4,688 Add fixed charges: Interest on indebtedness 20,634 35,639 41,668 44,043 41,714 38,661 Portion of rents representative of the interest factor 2,278 5,515 5,879 4,838 4,933 5,715 -------- -------- -------- -------- -------- -------- Income as adjusted $155,991 $309,195 $171,510 $122,769 $169,012 $111,426 Fixed charges: Interest on indebtedness $ 20,634 $ 35,639 $ 41,668 $ 44,043 $ 41,714 $ 38,661 Capitalized interest 3,963 8,745 Portion of rents representative of the interest factor 2,278 5,515 5,879 4,838 4,933 5,715 -------- -------- -------- -------- -------- -------- Total fixed charges $ 22,912 $ 41,154 $ 47,547 $ 48,881 $ 50,610 $ 53,121 Ratio of earnings to fixed charges 6.81 7.51 3.61 2.51 3.34 2.10 ======== ======== ======== ======== ======== ======== -19-