EX-12 5 ratiotable.htm COMPUTATION OF RATIO OF EARNINGS TABLE
Exhibit 12


Corning Incorporated and Subsidiary Companies
Computation of Ratio of Earnings to Fixed Charges and Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
(In millions, except ratios)


 
Fiscal years ended December 31,
 
2016
  
2015
  
2014
  
2013
  
2012
                             
Income from operations before taxes on income 
$
3,692 
  
$
1,486 
  
$
3,568 
  
$
2,473 
  
$
1,975 
Adjustments:
                            
Equity in earnings of equity affiliates
  
(284)
    
(299)
    
(266)
    
(547)
    
(810)
Distributed income of equity affiliates (1)
  
85 
    
143 
    
1,704 
    
629 
    
1,089 
Net income attributable to noncontrolling interests
  
10 
    
10 
    
3 
          
(5)
Fixed charges net of capitalized interest
  
195 
    
171 
    
159 
    
148 
    
138 
                             
Earnings before taxes and fixed charges as adjusted
$
3,698 
  
$
1,511 
  
$
5,168 
  
$
2,703 
  
$
2,387 
                             
Fixed charges:
                            
Interest incurred 
$
179 
  
$
172 
  
$
160 
  
$
153 
  
$
181 
Portion of rent expense which represents an appropriate interest factor (2)
  
35 
    
31 
    
36 
    
28 
    
27 
Amortization of debt costs
  
4 
    
3 
    
3 
    
2 
    
4 
                             
Total fixed charges
$
218 
  
$
206 
  
$
199 
  
$
183 
  
$
212 
                             
Preferred stock grossed up to a pre-tax basis
  
98 
    
109 
    
136 
            
                             
Combined fixed charges and preferred stock dividends
$
316 
  
$
315 
  
$
335 
  
$
183 
  
$
212 
                             
Ratio of earnings to fixed charges
  
17.0x 
    
7.3x 
    
26.0x 
    
14.8x 
    
11.3x 
                             
Ratio of earnings to combined fixed charges and preferred stock dividends
  
11.7x 
    
4.8x 
    
15.4x 
    
14.8x 
    
11.3x 

(1)
In 2014, includes a $1.6 billion dividend received from Samsung Corning Precision Materials related to the acquisition of Samsung Corning Precision Materials.  See Note 8 (Acquisitions) for more details.
(2)
One-third of net rent expense is the portion deemed representative of the interest factor.