United Airlines 2014 Annual Report Download - page 151

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Exhibit 12.2
United Airlines, Inc. and Subsidiary Companies
Computation of Ratio of Earnings to Fixed Charges
(In millions, except ratios) 2014 2013 2012 2011 2010
Earnings (losses):
Earnings (loss) before income taxes $1,110 $ 637 $ (657) $ 848 $ 286
Add (deduct):
Fixed charges, from below 1,655 1,627 1,514 2,005 1,274
Amortization of capitalized interest 12 11 9 7 5
Distributed earnings of affiliates 1 — — 1 2
Interest capitalized (52) (49) (37) (32) (15)
Equity earnings in affiliates (1) (1) (4) (6) (7)
Earnings as adjusted $2,725 $2,225 $ 825 $2,823 $1,545
Fixed charges:
Interest expensed and capitalized and amortization of premiums, debt discounts, issuance
costs, and capital expenditures (a) $ 742 $ 781 $ 823 $ 937 $ 780
Portion of rent expense representative of the interest factor (b) 913 846 691 1,068 494
Fixed charges $1,655 $1,627 $1,514 $2,005 $1,274
Ratio of earnings to fixed charges 1.65 1.37 (c) 1.41 1.21
(a) Amortization of debt discounts includes amortization of fresh-start valuation discounts.
(b) Imputed interest applied to rent expense.
(c) Earnings were inadequate to cover fixed charges by $689 million in 2012.