EX-12.01 4 ex12_01.htm EXHIBIT 12.01 ex12_01.htm
 
 
 

 
EASTMAN CHEMICAL COMPANY AND SUBSIDIARIES
 
 
 
First Quarter
(Dollars in millions)
  
2008
  
2007
         
Earnings from continuing operations before income taxes (1)
$
153
$
140
Add:
        
Interest expense
  
26
  
28
Appropriate portion of rental expense (2)
  
5
  
5
Amortization of capitalized interest
  
2
  
2
Earnings as adjusted
$
 186
$
 175
         
Fixed charges:
        
Interest expense
  
26
  
28
Appropriate portion of rental expense (2)
  
5
  
5
Capitalized interest
  
5
  
5
Total fixed charges
$
  36
$
  38
         
Ratio of earnings to fixed charges
  
5.2
  
4.6
         
(1)  
Because the Company has exited the PET business in the European region, results related to sales of PET products manufactured at the Spain, the Netherlands, and United Kingdom sites are presented as discontinued operations for all periods presented.  For additional information, see Note 2, "Discontinued Operations", to the Company's unaudited consolidated financial statements in Part I, Item 1 of this quarterly report on Form 10-Q.
 
(2)  
For all periods presented, the interest component of rental expense is estimated to equal one-third of such expense.
 

 
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