EX-12 4 d595257dex12.htm EX-12 EX-12

Exhibit 12

AIR PRODUCTS AND CHEMICALS, INC., AND SUBSIDIARIES

COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

(Unaudited)

 

     Year Ended 30 September  
(Millions of dollars, except ratios)    2013     2012     2011     2010     2009  

Earnings:

           

Income from continuing operations (1)

    $ 1,042.5     $ 1,025.2     $ 1,171.6     $ 967.0     $ 565.3  

Add (deduct):

           

Provision for income taxes

      322.5       305.1       390.8       321.0       159.9  

Fixed charges, excluding capitalized interest

      166.9       146.7       139.4       146.3       147.8  

Capitalized interest amortized during the period

      10.3       9.5       9.0       8.7       7.7  

Undistributed earnings of less-than-fifty percent-owned affiliates

      (46.4 )      (54.5 )      (38.9 )      (29.2 )      (44.2 ) 
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Earnings, as adjusted

    $ 1,495.8     $ 1,432.0     $ 1,671.9     $ 1,413.8     $ 836.5  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed Charges:

           

Interest on indebtedness, including capital lease obligations

    $ 143.1     $ 116.0     $ 113.6     $ 121.8     $ 125.1  

Capitalized interest

      28.3       31.4       23.4       14.5       22.2  

Amortization of debt discount premium and expense

      2.1       10.6       5.6       5.6       4.7  

Portion of rents under operating leases representative of the interest factor

      21.7       20.1       20.2       18.9       18.0  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges

    $ 195.2     $ 178.1     $ 162.8     $ 160.8     $ 170.0  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of Earnings to Fixed Charges (2):

      7.7       8.0       10.3       8.8       4.9  
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1)  Income from continuing operations includes charges associated with business restructuring and cost reduction plans of $231.6 ($157.9 after-tax), $327.4 ($222.4 after-tax) and $298.2 ($200.3 after-tax) for fiscal years ending 30 September 2013, 2012 and 2009, respectively.
(2)  The ratio of earnings to fixed charges is determined by dividing earnings, as adjusted, by fixed charges. Fixed charges consist of interest on all indebtedness plus that portion of operating lease rentals representative of the interest factor (deemed to be 21% of operating lease rentals).