EX-12.1 13 dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

Exhibit 12.1

THE LUBRIZOL CORPORATION AND SUBSIDIARIES

Computation of Ratio of Earnings to Fixed Charges

(all amounts except ratios are shown in millions)

 

     2010     2009     2008     2007     2006  

Pretax income from continuing operations

   $ 1,004.3      $ 725.8      $ 17.0      $ 405.4      $ 266.1   

Add (deduct) earnings of less than 50% owned affiliates (net of distributed earnings) included in pretax income

     0.8        (0.2     (0.9     (0.3     (0.8

Add fixed charges net of capitalized interest

     109.8        120.5        89.5        101.4        108.5   

Add previously capitalized interest amortized during period

     1.2        1.5        0.9        0.7        1.0   

Less the noncontrolling interest in pre-tax income of subsidiaries that have not incurred fixed charges

     (16.5     (13.4     (7.2     (6.4     (4.1
                                        

“Earnings”

   $ 1,099.6      $ 834.2      $ 99.3      $ 500.7      $ 370.7   
                                        

Gross interest expense including capitalized interest

   $ 101.4      $ 113.0      $ 82.2      $ 93.5      $ 101.2   

Interest portion of rental expense

     10.1        10.0        11.4        9.6        8.8   
                                        

“Fixed charges”

   $ 111.5      $ 123.0      $ 93.6      $ 103.1      $ 110.0   
                                        

Ratio of earnings to fixed charges

     9.86        6.78        1.06        4.86        3.37