Exhibit 12
TEXAS INSTRUMENTS INCORPORATED AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(In millions of dollars)
| For Six Months Ended June 30, |
|||||||||||||||||||||||||
| 1998 |
1999 |
2000 |
2001 |
2002 |
2002 |
2003 |
|||||||||||||||||||
| Earnings: |
|||||||||||||||||||||||||
| Income (loss) from continuing operations before income taxes plus fixed charges and amortization of capitalized interest, less interest capitalized |
$ | 815 | $ | 2,205 | $ | 4,702 | $ | (316 | ) | $ | (248 | ) | $ | 119 | $ | 348 | |||||||||
| Fixed charges: |
|||||||||||||||||||||||||
| Total interest on loans (expensed and capitalized) |
$ | 86 | $ | 84 | $ | 98 | $ | 74 | $ | 60 | $ | 30 | $ | 24 | |||||||||||
| Interest attributable to rental and lease expense |
41 | 30 | 32 | 33 | 26 | 13 | 13 | ||||||||||||||||||
| Fixed charges |
$ | 127 | $ | 114 | $ | 130 | $ | 107 | $ | 86 | $ | 43 | $ | 37 | |||||||||||
| Ratio of earnings to fixed charges |
6.4 | 19.3 | 36.2 | * | * | 2.8 | 9.4 | ||||||||||||||||||
* The ratio is not meaningful. The coverage deficiency was $423 million in year 2001 and $334 million in 2002.