Kodak 2011 Annual Report Download - page 573

Exhibit (12)
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Year Ended December 31
(in millions)
2011
2010
2009
2008
2007
Loss from continuing operations before provision for income
taxes
$
(758
)
$
(561
)
$
(117
)
$
(874
)
$
(257
)
Adjustments:
Undistributed (earnings) loss of equity method
investees
-
-
-
-
(1
)
Interest expense
156
149
119
108
143
Interest component of rental
expense (1)
29
32
36
39
43
Amortization of capitalized interest
2
2
2
2
9
Earnings as adjusted
$
(571
)
$
(378
)
$
40
$
(725
)
$
(63
)
Fixed charges:
Interest expense
156
149
119
108
143
Interest component of rental
expense (1)
29
32
36
39
43
Capitalized interest
1
1
2
3
2
Total fixed charges
$
186
$
182
$
157
$
150
$
188
Ratio of earnings to fixed charges
*
**
***
****
*****
(1) Interest component of rental expense is estimated to equal 1/3 of such expense, which is considered a reasonable approximation of
the interest factor.
*
Earnings for the year ended December 31, 2011 were inadequate to cover fixed charges. The coverage deficiency was $757 million.
**
Earnings for the year ended December 31, 2010 were inadequate to cover fixed charges. The coverage deficiency was $560 million.
***
Earnings for the year ended December 31, 2009 were inadequate to cover fixed charges. The coverage deficiency was $117 million.
**** Earnings for the year ended December 31, 2008 were inadequate to cover fixed charges. The coverage deficiency was $875
million.
***** Earnings for the year ended December 31, 2007 were inadequate to cover fixed charges. The coverage deficiency was $251
million.