EX-12 3 d337194dex12.htm EX-12 EX-12

EXHIBIT 12

Arconic and subsidiaries

Computations of Ratio of Earnings to Fixed Charges and

Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends

(in millions, except ratios)

 

Three months ended March 31,

   2017  

Earnings

  

Income from continuing operations before income taxes

   $ 484  

Noncontrolling interests share of earnings of majority-owned subsidiaries without fixed charges

     —    

Equity income

     —    

Fixed charges added to earnings

     119  

Distributed income of less than 50 percent-owned persons

     —    

Amortization of capitalized interest:

  

Consolidated

     3  

Proportionate share of 50 percent-owned persons

     —    
  

 

 

 

Total earnings

   $ 606  
  

 

 

 

Fixed Charges

  

Interest expense:

  

Consolidated

   $ 115  

Proportionate share of 50 percent-owned persons

     —    
  

 

 

 
   $ 115  
  

 

 

 

Amount representative of the interest factor in rents:

  

Consolidated

   $ 4  

Proportionate share of 50 percent-owned persons

     —    
  

 

 

 
   $ 4  
  

 

 

 

Fixed charges added to earnings

   $ 119  
  

 

 

 

Interest capitalized:

  

Consolidated

   $ 7  
  

 

 

 

Proportionate share of 50 percent-owned persons

     —    
  

 

 

 
   $ 7  
  

 

 

 

Preferred stock dividend requirements of majority-owned subsidiaries

     —    
  

 

 

 

Total fixed charges

   $ 126  
  

 

 

 

Pretax earnings required to pay preferred stock dividends*

     27  
  

 

 

 

Combined total fixed charges and preferred stock dividends

   $ 153  
  

 

 

 

Ratio of earnings to fixed charges

     4.8  
  

 

 

 

Ratio of earnings to combined fixed charges and preferred stock dividends

     4.0  
  

 

 

 

 

* Based on U.S. statutory rate of 35%