EX-12.01 9 emn20171231ex1201.htm STATEMENT RE: COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Exhibit


Exhibit 12.01

EASTMAN CHEMICAL COMPANY AND SUBSIDIARIES
Computation of Ratios of Earnings to Fixed Charges
 
 
Year Ended December 31,
(Dollars in millions)
 
2017
 
2016
 
2015
 
2014
 
2013
Earnings before income taxes excluding noncontrolling interest
$
1,285

$
1,044

$
1,123

$
984

$
1,672

Add:
 
 
 
 
 
 
 
 
 
 
Interest expense
 
244

 
258

 
266

 
190

 
183

Appropriate portion of rental expense (1)
 
31

 
30

 
26

 
23

 
20

Amortization of capitalized interest
 
3

 
5

 
6

 
6

 
6

Earnings as adjusted
$
1,563

$
1,337

$
1,421

$
1,203

$
1,881

 
 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
 
Interest expense
$
244

$
258

$
266

$
190

$
183

Appropriate portion of rental expense (1)
 
31

 
30

 
26

 
23

 
20

Capitalized interest
 
7

 
7

 
7

 
7

 
4

Total fixed charges
$
282

$
295

$
299

$
220

$
207

 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
5.5x

 
4.5x

 
4.8x

 
5.5x

 
9.1x


(1) 
For all periods presented, the interest component of rental expense is estimated to equal one-third of such expense.