EX-12 2 txn-ex12_12.htm EX-12 txn-ex12_12.htm

Exhibit 12

 

Texas Instruments Incorporated and Subsidiaries

Computation of Ratio of Earnings to Fixed Charges

(Millions of dollars)

 

 

 

For Years Ended December 31,

 

 

2017

 

2016

 

2015

 

2014

 

2013

Earnings:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Income before income taxes

 

$

6,080

 

$

4,930

 

$

4,216

 

$

3,874

 

$

2,754

Equity method investments (gains) and losses

 

 

—

 

 

(3)

 

 

(4)

 

 

(3)

 

 

(6)

Add:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges (from below)

 

 

88

 

 

89

 

 

100

 

 

107

 

 

105

Amortization of capitalized interest

 

 

1

 

 

1

 

 

1

 

 

2

 

 

2

Distributed income from equity investees

 

 

—

 

 

—

 

 

3

 

 

1

 

 

11

Subtract:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Capitalized interest

 

 

—

 

 

1

 

 

1

 

 

—

 

 

—

Total earnings

 

$

6,169

 

$

5,016

 

$

4,315

 

$

3,981

 

$

2,866

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total gross interest on debt (expensed)

 

$

78

 

$

86

 

$

96

 

$

103

 

$

104

Capitalized interest

 

 

—

 

 

1

 

 

1

 

 

—

 

 

—

Amortization of debt discounts, premiums and debt issuance costs

 

 

—

 

 

(6)

 

 

(6)

 

 

(9)

 

 

(9)

Estimated interest element of rental and lease expense

 

 

10

 

 

8

 

 

9

 

 

13

 

 

10

Total fixed charges

 

$

88

 

$

89

 

$

100

 

$

107

 

$

105

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

 

70.1

 

 

56.4

 

 

43.2

 

 

37.2

 

 

27.3