EX-12 2 y13806exv12.htm EX-12: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES EX-12
 

Exhibit (12)
The McGraw-Hill Companies, Inc.
Computation of Ratio of Earnings to Fixed Charges
                         
    Sept. 30, 2005   Sept. 30, 2004
    Nine   Twelve   Nine
(in thousands)   Months   Months   Months
Earnings
                        
Earnings from continuing operations before income tax expense
   $ 1,042,584     $ 1,344,230     $ 867,259  
Fixed charges
     61,924       79,933       57,847  
 
                        
Total Earnings
   $ 1,104,508     $ 1,424,163     $ 925,106  
 
                        
 
                        
Fixed Charges (Note)
                        
Interest expense
   $ 15,880     $ 19,542     $ 11,979  
Portion of rental payments deemed to be interest
     46,044       60,391       45,868  
 
                        
Total Fixed Charges
   $ 61,924     $ 79,933     $ 57,847  
 
                        
Ratio of Earnings to Fixed Charges
     17.8x       17.8x       16.0x  
(Note)   “Fixed charges” consist of (1) interest on debt and interest related to the sale leaseback of Rock-McGraw, Inc. (See Note 11 to the Company’s consolidated financial statements); and (2) the portion of the Company’s rental expense deemed representative of the interest factor in rental expense.

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