EX-12 5 navex1210312014.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES NAV EX 12 10.31.2014


EXHIBIT 12
Computation of Ratio of Earnings to Fixed Charges
The computation of Ratio of Earnings to Fixed Charges as shown on this Exhibit 12 is provided pursuant to Items 503(d) and 601(12) of Regulation S-K.
(in millions)
2014
 
2013
 
2012
 
2011
 
2010
Income (loss) before income tax benefit (expense)(A)
$
(565
)
 
$
(985
)
 
$
(1,082
)
 
$
506

 
$
388

Less: Net income attributable to non-controlling interests
40

 
(54
)
 
(48
)
 
(55
)
 
(44
)
Dividends from non-consolidated affiliates
12

 
13

 
7

 
4

 
5

Interest expense(B)
265

 
264

 
213

 
203

 
215

Debt amortization expense
49

 
57

 
46

 
44

 
38

Interest portion of rent expense(C)
20

 
24

 
21

 
18

 
19

Total earnings (loss)
$
(179
)
 
$
(681
)
 
$
(843
)
 
$
720

 
$
621

 
 
 
 
 
 
 
 
 
 
Capitalized interest
$
—

 
$
5

 
$
9

 
$
18

 
$
4

Interest expense(B)
285

 
288

 
234

 
221

 
234

Debt amortization expense
49

 
57

 
46

 
44

 
38

Total fixed charges
$
334

 
$
350

 
$
289

 
$
283

 
$
276

 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
—

 
—

 
—

 
2.54

 
2.25

Earnings shortfall
$
(513
)
 
$
(1,031
)
 
$
(1,132
)

$
—


$
—

________________
(A)    Excludes equity in income (loss) of non-consolidated affiliates.
(B)
Excludes interest expense on income tax contingencies.
(C)
Represents an estimated amount of rental expense (33%) that is deemed to be representative of the interest factor.

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