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EXHIBIT 12
THE LUBRIZOL CORPORATION AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(all amounts except ratios are shown in thousands)
1997 1996 1995 1994 1993
-------- -------- -------- -------- ------
Pretax income $231,147 $250,608 $225,574 $251,459 $119,651
Deduct earnings of less
than 50% owned affiliates
(net of distributed
earnings) included in
pretax income (3,018) (48) (1,384) (871) (2,355)
Add losses of less than 50%
owned affiliates included
in pretax income 66 56 1,808 490 21,063
Add fixed charges net of
capitalized interest 10,803 10,955 10,376 3,149 4,154
Add previously capitalized
interest amortized during
period 1,118 968 1,096 452 272
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"Earnings" $240,116 $262,539 $237,470 $254,679 $142,785
======= ======= ======= ======= =======
Gross interest expense
including capitalized
interest ("Fixed Charges") $ 13,194 $ 14,010 $ 14,693 $ 6,922 $ 6,292
Ratio of earnings to
fixed charges 18.2 18.7 16.2 36.8 22.7
SPECIAL ADJUSTMENTS:
"Earnings" $240,116 $262,539 $237,470 $254,679 $142,785
Plus asset impairment
and special charges 9,489 86,303
Less gains on investments (53,280) (38,459) (41,235) (42,443)
------- ------- ------- ------- -------
Adjusted "Earnings" $240,116 $209,259 $208,500 $213,444 $186,645
======= ======= ======= ======= =======
Ratio of adjusted earnings
to fixed charges 18.2 14.9 14.2 30.8 29.7