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EXHIBIT 12
DELTA AIR LINES, INC.
STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(In millions except ratios)
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1992 1993 1994 1995 1996
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Earnings (before cumulative effect of accounting changes):
Net income (loss) $ (506) $ (415) $ (409) $ 294 $ 156
Add (deduct):
Income tax (credit) provision (271) (236) (251) 200 120
Fixed charges 569 616 689 665 582
Interest capitalized (70) (62) (33) (30) (26)
Interest offset on
Guaranteed Serial
ESOP Notes (15) (15) (14) (4) (2)
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Earnings (loss) as adjusted $ (293) $ (112) $ (18) $ 1,125 $ 830
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Fixed charges:
Interest expense $ 221 $ 239 $ 304 $ 292 $ 269
1/3 of rentals 333 362 371 369 311
Additional interest on
Guaranteed Serial
ESOP Notes 15 15 14 4 2
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Total fixed charges $ 569 $ 616 $ 689 $ 665 $ 582
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Ratio of earnings to fixed charges - - - 1.69 1.43
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Earnings for the fiscal years ended June 30, 1992, 1993, and 1994 were
inadequate to cover fixed charges. Additional earnings of $862 million for the
fiscal year ended June 30, 1992, of $728 million for the fiscal year ended June
30, 1993, and of $ 707 million for the fiscal year ended June 30, 1994, would
have been necessary to bring the ratio to 1.0.