EX-12.1 2 dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

 

Ratio of Earnings to Fixed Charges

 

    

Nine Months

Ended

September 30,

2005

     Year Ended December 31,
  
       2004
     2003
     2002
     2001
     2000
  
     (in millions)  

Income (loss) before income taxes

    $ 267     $ 356     $ 39     $ (151 )   $ (567 )   $ (1,406 )

Equity in losses of equity-method investees

      —         —         0       4       30       305  
    
 
 
 
 
 

Net income (loss) before equity in losses of equity-method investees

      267       356       39       (146 )     (536 )     (1,102 )
    
 
 
 
 
 

Plus fixed charges:

                                                 

Interest expense including amortization of debt issuance costs

      70       107       130       143       139       131  

Assumed interest element included in rent expense

      3       4       6       6       9       11  
    
 
 
 
 
 
       73       111       136       149       148       142  
    
 
 
 
 
 

Adjusted earnings (loss)

      340       467       175       3       (388 )     (960 )

Fixed charges

      (73 )     (111 )     (136 )     (149 )     (148 )     (142 )
    
 
 
 
 
 

Excess (deficiency) of earnings to cover fixed charges

    $ 267     $ 356     $ 39     $ (146 )   $ (536 )   $ (1,102 )
    
 
 
 
 
 

Ratio of earnings to fixed charges (1)

      4.66       4.20       1.29       0.02       (2.62 )     (6.77 )
(1) The ratio of earnings to fixed charges is computed by dividing (i) income (loss) before income taxes and losses from equity interests, plus fixed charges by (ii) fixed charges.