EX-12.1 3 computation.htm computation.htm

Exhibit 12.1
 

 
BORGWARNER INC.
 
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
 
(in millions, except ratio of earnings to fixed charges)
 
             
Computation of Earnings:
2003
2004
2005
2006
2007
  
             
Earnings before income taxes
 and minority interest
256.7
308.6
314.2
270.3
430.4
 
  
             
Income in equity investees
(20.1)
(29.2)
(28.2)
(35.9)
(40.3)
  
             
Fixed charges
40.8
40.0
51.3
56.2
54.2
  
             
Capitalized interest
amortization expense
2.8
2.9
3.0
3.9
4.9
  
             
Distributed income
of equity investees
9.7
23.9
12.9
44.2
18.2
  
             
Capitalized interest
(3.0)
(4.3)
(6.9)
(8.5)
(9.6)
  
             
  Total earnings
286.9
341.9
346.3
330.2
457.8
  
             
Computation of Fixed Charges:
            
             
Interest expense
33.3
29.7
37.1
40.2
34.7
  
             
Capitalized interest
3.0
4.3
6.9
8.5
9.6
  
             
Rent expense
13.4
18.0
21.9
22.4
29.8
  
             
1/3 of rent expense
4.5
6.0
7.3
7.5
9.9
  
             
  Total fixed charges
40.8
40.0
51.3
56.2
54.2
  
             
             
Ratio of earnings to fixed charges
7.04
8.55
6.75
5.88
8.45