EX-12.1 3 a06-15559_1ex12d1.htm EX-12

EXHIBIT 12.1

 

THE COCA-COLA COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

(In millions except ratios)

 

 

 

Six

 

 

 

 

 

 

 

 

 

 

 

 

 

Months

 

 

 

 

 

 

 

 

 

 

 

 

 

Ended

 

 

 

 

 

 

 

 

 

 

 

 

 

June 30,

 

Year Ended December 31,

 

 

 

2006

 

2005

 

2004

 

2003

 

2002

 

2001

 

EARNINGS:

 

 

 

 

 

 

 

 

 

 

 

 

 

Income from continuing operations before income taxes and changes in accounting principles

 

$

3,866

 

$

6,690

 

$

6,222

 

$

5,495

 

$

5,499

 

$

5,670

 

Fixed charges

 

148

 

281

 

232

 

220

 

236

 

327

 

Less:

 

 

 

 

 

 

 

 

 

 

 

 

 

Capitalized interest, net

 

(3

)

(3

)

(1

)

(1

)

(1

)

(8

)

Equity income, net of dividends

 

(206

)

(446

)

(476

)

(294

)

(256

)

(54

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted earnings

 

$

3,805

 

$

6,522

 

$

5,977

 

$

5,420

 

$

5,478

 

$

5,935

 

FIXED CHARGES:

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross interest incurred

 

$

129

 

$

243

 

$

197

 

$

179

 

$

200

 

$

297

 

Interest portion of rent expense

 

19

 

38

 

35

 

41

 

36

 

30

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total fixed charges

 

$

148

 

$

281

 

$

232

 

$

220

 

$

236

 

$

327

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratios of earnings to fixed charges

 

25.7

 

23.2

 

25.8

 

24.6

 

23.2

 

18.1

 

 

As of June 30, 2006, the Company is contingently liable for guarantees of indebtedness owed by third parties in the amount of $275 million. Fixed charges for these contingent liabilities have not been included in the computation of the above ratios, as the amounts are immaterial and, in the opinion of management, it is not probable that the Company will be required to satisfy the guarantees.