EX-12 3 dex12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES. Computation of Ratio of Earnings to Fixed Charges.

Exhibit 12

 

TEXAS INSTRUMENTS INCORPORATED AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(In millions of dollars)

 

                               

For Six Months

Ended June 30,

     1999
    2000
    2001
     2002
     2003
    2003
    2004

Earnings:

                                                   

Income (loss) from continuing operations before income taxes plus fixed charges and amortization of capitalized interest, less interest capitalized

    $ 2,205    $ 4,702    $ (316 )   $ (248 )   $ 1,326    $ 348    $ 1,169
    
  
  
 
 
  
  

Fixed charges:

                                                   

Total interest on loans (expensed and capitalized)

    $ 84    $ 98    $ 74     $ 60     $ 41    $ 24    $ 17

Interest attributable to rental and lease expense

      30      32      33       26       25      13      11
    
  
  
 
 
  
  

Fixed charges

    $ 114    $ 130    $ 107     $ 86     $ 66    $ 37    $ 28
    
  
  
 
 
  
  

Ratio of earnings to fixed charges.

      19.3      36.2      *       *       20.1      9.4      41.8
* The ratio is not meaningful. The coverage deficiency was $334 million in year 2002 and $423 million in year 2001.