EXHIBIT 12
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
FIRST
SIX MONTHS
----------
1992 1993 1994 1995 1996 1996 1997
---- ---- ---- ---- ---- ----- -----
$ MILLIONS
Earnings before income taxes...... $ 76 $205 $294 $177 $214 $ 133 $ 130
Tax provision of 50% or more owned
unconsolidated companies......... 3 3 6 5 6 2 3
Amortization of capitalized inter-
est:
Consolidated companies........... 3 3 3 2 3 1 2
50% or more owned unconsolidated
companies....................... 1 1 1 1 1 1 --
---- ---- ---- ---- ---- ----- -----
Adjusted earnings before income
taxes........................... 83 212 304 185 224 137 135
---- ---- ---- ---- ---- ----- -----
Interest expense:
Consolidated companies........... 41 36 17 13 18 8 12
50% or more owned unconsolidated
companies....................... 17 4 3 2 7 3 4
Capitalized interest costs....... 2 2 3 8 7 4 6
Amortization of debt discount and
issuance costs.................. 1 1 1 1 1 1 --
Appropriate portion of rentals
under operating leases.......... 15 17 17 18 18 9 10
---- ---- ---- ---- ---- ----- -----
Total fixed charges.............. 76 60 41 42 51 25 32
---- ---- ---- ---- ---- ----- -----
Capitalized interest costs....... (2) (2) (3) (8) (7) (4) (6)
---- ---- ---- ---- ---- ----- -----
Earnings available for fixed
charges.......................... $157 $270 $342 $219 $268 $ 158 $ 161
==== ==== ==== ==== ==== ===== =====
Ratio............................. 2.1x 4.5x 8.3x 5.2x 5.3x 6.3x 5.0x
==== ==== ==== ==== ==== ===== =====
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
PREFERRED AND PREFERENCE DIVIDENDS
FIRST SIX
MONTHS
----------
1992 1993 1994 1995 1996 1996 1997
---- ---- ---- ---- ---- ---- ----
$ MILLIONS
Earnings before income taxes........ $ 76 $205 $294 $177 $214 $133 $130
Tax provision of 50% or more owned
unconsolidated companies........... 3 3 6 5 6 2 3
Amortization of capitalized
interests:
Consolidated companies............. 3 3 3 2 3 1 2
50% or more owned unconsolidated
companies......................... 1 1 1 1 1 1 --
---- ---- ---- ---- ---- ---- ----
Adjusted earnings before income
taxes............................. 83 212 304 185 224 137 135
Interest expense:
Consolidated companies............. 41 36 17 13 18 8 12
50% or more owned unconsolidated
companies......................... 17 4 3 2 7 3 4
Capitalized interest costs......... 2 2 3 8 7 4 6
Amortization of debt discount and
issuance costs.................... 1 1 1 1 1 1 --
Appropriate portion of rentals
under operating leases............ 15 17 17 18 18 9 10
Preferred and preference dividend
requirements...................... 8 8 -- -- -- -- --
Factor............................. 1.12 1.11 -- -- -- -- --
---- ---- ---- ---- ---- ---- ----
9 9 -- -- -- -- --
---- ---- ---- ---- ---- ---- ----
Total fixed charges................ 85 69 41 42 51 25 32
---- ---- ---- ---- ---- ---- ----
Capitalized interest costs......... (2) (2) (3) (8) (7) (4) (6)
---- ---- ---- ---- ---- ---- ----
Earnings available for fixed
charges............................ $166 $279 $342 $219 $268 $158 $161
==== ==== ==== ==== ==== ==== ====
Ratio............................... 2.0x 4.0x 8.3x 5.2x 5.3x 6.3x 5.0x
==== ==== ==== ==== ==== ==== ====