EXHIBIT 12
ASHLAND INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(In millions)
Years ended September 30
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2002 2003 2004 2005 2006
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EARNINGS
Income from continuing operations $ 27 $ 103 $ 311 $ 1,958 $ 183
Income tax expense (benefit) 14 52 100 (230) 29
Interest expense 133 121 112 87 8
Interest portion of rental expense 19 20 20 20 18
Amortization of deferred debt expense 2 2 2 3 -
Distributions in excess of (less than) earnings
of unconsolidated affiliates 20 (89) (260) (246) (6)
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$ 215 $ 209 $ 285 $ 1,592 $ 232
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FIXED CHARGES
Interest expense $ 133 $ 121 $ 112 $ 87 $ 8
Interest portion of rental expense 19 20 20 20 18
Amortization of deferred debt expense 2 2 2 3 -
Capitalized interest - - - 1 3
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$ 154 $ 143 $ 134 $ 111 $ 29
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RATIO OF EARNINGS TO FIXED CHARGES 1.40 1.46 2.13 14.34 8.00