EXHIBIT 12
Computation of Ratio of Earnings to Fixed Charges
Verizon Communications Inc. and Subsidiaries
| (dollars in millions) | Three Months Ended March 31, 2016 |
|||
| Earnings: |
||||
| Income before provision for income taxes |
$ | 6,766 | ||
| Equity in losses of unconsolidated businesses |
20 | |||
| Dividends from unconsolidated businesses |
9 | |||
| Interest expense (1) |
1,188 | |||
| Portion of rent expense representing interest |
278 | |||
| Amortization of capitalized interest |
47 | |||
|
|
|
|||
| Earnings, as adjusted |
$ | 8,308 | ||
|
|
|
|||
| Fixed Charges: |
||||
| Interest expense (1) |
$ | 1,188 | ||
| Portion of rent expense representing interest |
278 | |||
| Capitalized interest |
168 | |||
|
|
|
|||
| Fixed charges |
$ | 1,634 | ||
|
|
|
|||
| Ratio of earnings to fixed charges |
5.08 | |||
|
|
|
|||
| (1) | We classify interest expense recognized on uncertain tax positions as income tax expense and therefore such interest expense is not included in the Ratio of Earnings to Fixed Charges. |