EX-12 5 txn-ex12_1017.htm EX-12

Exhibit 12

Texas Instruments Incorporated and Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
(Millions of dollars)
|  | For Years Ended December 31,
|  | 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Earnings: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Income before income tax |  | $ | 4,930 |  | $ | 4,216 |  | $ | 3,874 |  | $ | 2,754 |  | $ | 1,935
Equity method investments (gains) and losses |  |  | (3) |  |  | (4) |  |  | (3) |  |  | (6) |  |  | (17)
Add: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Fixed charges (from below) |  |  | 89 |  |  | 100 |  |  | 107 |  |  | 105 |  |  | 99
Amortization of capitalized interest |  |  | 1 |  |  | 1 |  |  | 2 |  |  | 2 |  |  | 2
Distributed income from equity investees |  |  | — |  |  | 3 |  |  | 1 |  |  | 11 |  |  | 16
Subtract: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Capitalized interest |  |  | 1 |  |  | 1 |  |  | — |  |  | — |  |  | —
Total earnings |  | $ | 5,016 |  | $ | 4,315 |  | $ | 3,981 |  | $ | 2,866 |  | $ | 2,035
Fixed Charges: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Total gross interest on debt (expensed) |  | $ | 86 |  | $ | 96 |  | $ | 103 |  | $ | 104 |  | $ | 104
Capitalized interest |  |  | 1 |  |  | 1 |  |  | — |  |  | — |  |  | —
Amortization of debt premium and debt issuance costs |  |  | (6) |  |  | (6) |  |  | (9) |  |  | (9) |  |  | (18)
Estimated interest element of rental and lease expense |  |  | 8 |  |  | 9 |  |  | 13 |  |  | 10 |  |  | 13
Total fixed charges |  | $ | 89 |  | $ | 100 |  | $ | 107 |  | $ | 105 |  | $ | 99
Ratio of earnings to fixed charges |  |  | 56.4 |  |  | 43.2 |  |  | 37.2 |  |  | 27.3 |  |  | 20.6