EX-12 5 ex12.txt COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES EXHIBIT 12 ASHLAND INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (In millions)
Three months ended Years ended September 30 December 31 ------------------------------------------------------ ---------------------- 1998 1999 2000 2001 2002 2001 2002 EARNINGS -------- -------- -------- -------- --------- --------- ---------- -------- Income from continuing operations $ 178 $ 291 $ 288 $ 403 $ 129 $ 38 $ 3 Income taxes 114 194 189 273 71 24 1 Interest expense 133 141 189 160 133 35 31 Interest portion of rental expense 40 35 39 41 36 9 8 Amortization of deferred debt expense 1 1 2 2 2 1 1 Distributions in excess of (less than) earnings of unconsolidated affiliates (62) (12) (112) (90) 20 67 47 -------- -------- -------- -------- --------- --------- ---------- $ 404 $ 650 $ 595 $ 789 $ 391 $ 174 $ 91 ======== ======== ======== ======== ========= ========= ========== FIXED CHARGES ------------- Interest expense $ 133 $ 141 $ 189 $ 160 $ 133 $ 35 $ 31 Interest portion of rental expense 40 35 39 41 36 9 8 Amortization of deferred debt expense 1 1 2 2 2 1 1 -------- -------- -------- -------- --------- --------- ---------- $ 174 $ 177 $ 230 $ 203 $ 171 $ 45 $ 40 ======== ======== ======== ======== ========= ========= ========== RATIO OF EARNINGS TO FIXED CHARGES 2.32 3.67 2.59 3.89 2.29 3.87 2.28