EX-12.1 8 gmacexhibit121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES gmacexhibit121.htm -- Converted by SEC Publisher, created by BCL Technologies Inc., for SEC Filing

     Exhibit 12.1

Ratio of Earnings to Fixed Charges and Preferred Interest Dividends
             
  Three Months Ended
March 31, 		 Year Ended December 31,
($ in millions)  2009  2008  2008  2007  2006  2005  2004 
Earnings               
Consolidated net (loss) income  ($675)  ($589)  $1,868  ($2,332)  $2,125  $2,282  $2,894 
Income tax (benefit) expense       (123 )  18  (7)  390  103  1,197  1,362 
Equity-method investee distribution  12  25  111  65  651  283  259 
Equity-method investee loss (earnings)  4  38  533  5  (512)  (142)  (169) 
Minority interest expense  -  -  1  2  (9)  (57)  2 
Consolidated (loss) income before income taxes, minority interest and 
    income or loss from equity investees  		(782)  (508)  2,506   (1,870)  2,358  3,563  4,348 
Fixed charges  2,291  3,238  11,658  14,966  15,655  12,754  9,682 
Earnings available for fixed charges and preferred interest dividends  1,509  2,730  14,164  13,096  18,013  16,317  14,030 
Fixed Charges               
Interest, discount, and issuance expense on debt  2,279  3,221  11,595  14,887  15,560  12,654  9,598 
Portion of rentals representative of the interest factor  12  17  63  79  95  100  84 
Total fixed charges  2,291  3,238  11,658  14,966  15,655  12,754  9,682 
Preferred interest dividends(1)  146  26  -  192  23  -  - 
Total fixed charges including preferred interest dividends  2,437  3,264  11,658  15,158  15,678  12,754  9,682 

 

              
  Ratio of earnings to fixed charges including preferred interest
    dividends		 0.62(2)  0.84(2)   1.21  0.86(2)  1.15  1.28  1.45 

(1) Preferred interest dividends represent pre-tax earnings necessary to cover any preferred interest dividend requirements computed using our effective tax rate for periods when the effective tax rate was positive.

(2) The ratio indicates a less than one-to-one coverage for certain periods as noted. Earnings available for combined fixed charges and preferred interest dividends for those periods were inadequate to cover total combined fixed charges and preferred interest dividends. The deficit amount for the ratio was $928 million and $534 million for the three months ended March 31, 2009 and 2008, respectively, and $2.062 billion for the year ended December 31, 2007.