Exhibit 12

Statement Setting Forth Ratio of Earnings to Fixed Charges (1)

	Three Months
Dollars in millions	Ended March 31, 2016		Fiscal 2015		Fiscal 2014			Fiscal 2013			Fiscal 2012		Fiscal 2011
Earnings from continuing operations before income taxes (2)	$	303	$	580	$	922		$	482		$	418	$	300
Add:
Fixed charges (see “B” below)		49		184		188			189			202		146
Amortization of capitalized interest (3)		—		—		—			—			—		1
Distributed income of equity investees		1		6		8			3			13		—
Less:
Interest capitalized (3)		1		2		—			—			1		1
Noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges		11		20		18			18			15		14
Adjusted earnings (A)	$	341	$	748	$	1,100		$	656		$	617	$	432
Fixed charges
Interest on long-term debt	$	46	$	176	$	185		$	182		$	177	$	101
Other interest, including amortized premiums, discounts and capitalized expenses related to indebtedness liability		2		2		(4	)		(5	)		12		38
Estimated interest components of rentals		1		6		7			12			13		7
Total fixed charges (B)	$	49	$	184	$	188		$	189		$	202	$	146
Ratio of earnings to fixed charges (A)/(B)		6.96		4.07		5.85			3.47			3.05		2.96

(1) Our ratio of earnings to combined fixed charges and preferred stock dividends for the periods indicated above is the same as our ratio of earnings to fixed charges set forth above because we had no shares of preferred stock outstanding during the periods indicated and currently have no shares of preferred stock outstanding.

(2) Excludes distributed income of equity investees.

(3) Includes interest capitalized and related amortization for our nonregulated segments.