EX-12.01 4 ratios.htm RATIO OF EARNINGS TO FIXED CHARGES

 
 
EASTMAN CHEMICAL COMPANY AND SUBSIDIARIES
 
 
 
First Quarter
(Dollars in millions)
  
2006
  
2005
         
Earnings before income taxes and cumulative effect of
       
changes in accounting principles
$
165
$
217
Add:
        
Interest expense
  
26
  
33
Appropriate portion of rental expense (1)
  
5
  
5
Amortization of capitalized interest
  
3
  
1
Earnings as adjusted
$
199
$
256
         
Fixed charges:
        
Interest expense
  
26
  
33
Appropriate portion of rental expense (1)
  
5
  
5
Capitalized interest
  
5
  
1
Total fixed charges
$
36
$
39
         
Ratio of earnings to fixed charges
  
5.5
  
6.6
         
(1)  
For all periods presented, the interest component of rental expense is estimated to equal one-third of such expense.