EXHIBIT 12
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
FOR NINE MONTHS ENDED SEPTEMBER 30,
(UNAUDITED)
|
(Dollars in millions) |
|
2012 |
|
2011 |
| ||
|
Income before income taxes (1) |
|
$ |
14,093 |
|
$ |
13,752 |
|
|
|
|
|
|
|
| ||
|
Add: Fixed charges, excluding capitalized interest |
|
1,150 |
|
1,101 |
| ||
|
|
|
|
|
|
| ||
|
Income as adjusted before income taxes |
|
$ |
15,243 |
|
$ |
14,853 |
|
|
|
|
|
|
|
| ||
|
Fixed charges: |
|
|
|
|
| ||
|
Interest expense |
|
$ |
760 |
|
$ |
721 |
|
|
Capitalized interest |
|
16 |
|
7 |
| ||
|
Portion of rental expense representative of interest |
|
390 |
|
380 |
| ||
|
|
|
|
|
|
| ||
|
Total fixed charges |
|
$ |
1,166 |
|
$ |
1,108 |
|
|
|
|
|
|
|
| ||
|
Ratio of earnings to fixed charges |
|
13.07 |
|
13.41 |
| ||
(1) Income from continuing operations before income taxes excludes (a) amortization of capitalized interest and (b) the company’s share in the income and losses of less-than-fifty percent-owned affiliates.