EX-12 10 g98697exv12.htm EX-12 COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exv12
 

EXHIBIT 12
COMPUTATION OF EARNINGS TO FIXED CHARGES
BELLSOUTH CORPORATION
                                             
    For the year ended December 31,    
     
(DOLLARS IN MILLIONS)   2001   2002   2003   2004   2005    
 
Earnings
                                            
Income from continuing operations before provision for income taxes, minority interest, discontinued operations, and cumulative effect of accounting change
  $ 4,120     $ 5,367     $ 5,424     $ 5,186     $ 4,302      
Equity in (earnings) losses of unconsolidated affiliates
    (681 )     (542 )     (452 )     (68 )     (165 )    
Fixed Charges
    1,268       1,195       1,061       1,022       1,241      
Distributed income of equity affiliates
    369       8       4       1       –      
Interest capitalized
    (31 )     (20 )     (8 )     (5 )     (8 )    
 
Income, as adjusted
  $ 5,045     $ 6,008     $ 6,029     $ 6,136     $ 5,370      
 
 
Fixed Charges
                                            
Interest expense
  $ 1,145     $ 1,066     $ 947     $ 916     $ 1,124      
Interest capitalized
    31       20       8       5       8      
Portion of rental expense representative of interest factor
    92       109       106       101       109      
 
Fixed Charges
  $ 1,268     $ 1,195     $ 1,061     $ 1,022     $ 1,241      
 
 
Ratio of Earnings to Fixed Charges
     3.98       5.03       5.68       6.00       4.33