EX-12.1 4 k65579ex12-1.htm EX-12.1 STATEMENT RE: COMPUTATION OF RATIOS EX-12.1 Statement re: Computation of Ratios
 

EXHIBIT 12.1

Visteon Corporation and Subsidiaries
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
(in millions)

                                                     
                             
        Nine             For the Years Ended December 31,          
        Months    
        2001     2000     1999     1998     1997     1996  
       
   
   
   
   
   
 
Earnings
                                               
 
Income before income taxes
  $ (148 )   $ 439     $ 1,172     $ 1,116     $ 815     $ 604  
 
Equity in net (income)/loss of affiliates plus dividends from affiliates
    (4 )     (39 )     (23 )     (9 )     (13 )     (31 )
 
Adjusted fixed charges a/
    137       212       172       104       98       90  
 
 
 
   
   
   
   
   
 
   
Earnings
  $ (15 )   $ 612     $ 1,321     $ 1,211     $ 900     $ 663  
 
 
 
   
   
   
   
   
 
Fixed Charges
                                               
 
Interest expense b/
  $ 112     $ 176     $ 149     $ 86     $ 94     $ 79  
 
Interest portion of rental expense c/
    27       39       24       17       12       7  
 
 
 
   
   
   
   
   
 
   
Fixed charges
  $ 139     $ 215     $ 173     $ 103     $ 106     $ 86  
 
 
 
   
   
   
   
   
 
Ratios
                                               
 
Ratios of earnings to fixed charges d/
    N/A       2.8       7.6       11.8       8.5       7.7  


  a/ Fixed charges, as shown below, adjusted to exclude the amount of interest capitalized during the period.
  b/ Includes interest, whether expensed or capitalized, and amortization of debt issuance expense and discount or premium relating to any indebtedness.
  c/ One-third of all rental expense is deemed to be interest.
  d/ For the nine months ended September 30, 2001, fixed charges exceeded earnings by $154 million, resulting in a ratio of less than one.