Attached files
| file | filename |
|---|---|
| 8-K - 8-K - GOODYEAR TIRE & RUBBER CO /OH/ | d304116d8k.htm |
| EX-5.4 - EX-5.4 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex54.htm |
| EX-5.3 - EX-5.3 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex53.htm |
| EX-1.1 - EX-1.1 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex11.htm |
| EX-5.1 - EX-5.1 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex51.htm |
| EX-4.2 - EX-4.2 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex42.htm |
| EX-5.2 - EX-5.2 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex52.htm |
| EX-99.1 - EX-99.1 - GOODYEAR TIRE & RUBBER CO /OH/ | d304116dex991.htm |
EXHIBIT 12.1
THE GOODYEAR TIRE & RUBBER COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
| (Dollars in millions) | Year Ended December 31, | |||||||||||||||||||
| 2011 | 2010 | 2009 | 2008 | 2007 | ||||||||||||||||
| EARNINGS |
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| Pre-tax income (loss) from continuing operations before adjustment for minority interests in consolidated subsidiaries or income or loss from equity investees |
$ | 599 | $ | (3 | ) | $ | (365 | ) | $ | 176 | $ | 436 | ||||||||
| Add: |
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| Amortization of previously capitalized interest |
9 | 9 | 8 | 8 | 10 | |||||||||||||||
| Distributed income of equity investees |
8 | 4 | 3 | 3 | 3 | |||||||||||||||
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| Total additions |
17 | 13 | 11 | 11 | 13 | |||||||||||||||
| Deduct: |
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| Capitalized interest |
31 | 26 | 14 | 23 | 10 | |||||||||||||||
| Minority interest in pre-tax income of consolidated subsidiaries with no fixed charges |
9 | 6 | 4 | 11 | 14 | |||||||||||||||
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| Total deductions |
40 | 32 | 18 | 34 | 24 | |||||||||||||||
| TOTAL EARNINGS (LOSS) |
$ | 576 | $ | (22 | ) | $ | (372 | ) | $ | 153 | $ | 425 | ||||||||
| FIXED CHARGES |
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| Interest expense |
$ | 330 | $ | 316 | $ | 311 | $ | 320 | $ | 470 | ||||||||||
| Capitalized interest |
31 | 26 | 14 | 23 | 10 | |||||||||||||||
| Amortization of debt discount, premium or expense |
14 | 14 | 16 | 17 | 26 | |||||||||||||||
| Interest portion of rental expense (1) |
118 | 111 | 105 | 105 | 101 | |||||||||||||||
| Proportionate share of fixed charges of investees accounted for by the equity method |
1 | 1 | 1 | 1 | 1 | |||||||||||||||
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| TOTAL FIXED CHARGES |
$ | 494 | $ | 468 | $ | 447 | $ | 466 | $ | 608 | ||||||||||
| TOTAL EARNINGS BEFORE FIXED CHARGES |
$ | 1,070 | $ | 446 | $ | 75 | $ | 619 | $ | 1,033 | ||||||||||
| RATIO OF EARNINGS TO FIXED CHARGES |
2.17 | * | ** | 1.33 | 1.70 | |||||||||||||||
| * | Earnings for the year ended December 31, 2010 were inadequate to cover fixed charges. The coverage deficiency was $22 million. |
| ** | Earnings for the year ended December 31, 2009 were inadequate to cover fixed charges. The coverage deficiency was $372 million. |
| (1) | Interest portion of rental expense is estimated to equal 1/3 of such expense, which is considered a reasonable approximation of the interest factor. |