EX-12.1 3 d807739dex121.htm COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

Exhibit 12.1

Altria Group, Inc. and Subsidiaries

Computation of Ratios of Earnings to Fixed Charges

(in millions of dollars)

 

     Nine
Months
Ended
9/30/14 		    For the Years Ended December 31,  
     2013     2012     2011     2010     2009  

Earnings before income taxes

    $ 5,865      $ 6,942      $ 6,477      $ 5,582      $ 5,723      $ 4,877   

Add (deduct):

             

Equity in net earnings of less than 50% owned affiliates

      (757 )      (993 )      (1,229 )      (741 )      (631 )      (601 ) 

Dividends from less than 50% owned affiliates

      346        443        404        374        303        254   

Fixed charges

      655        1,104        1,165        1,254        1,152        1,249   

Interest capitalized, net of amortization

      8        (7 )      (4 )      (2 )      26        5   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Earnings available for fixed charges

    $ 6,117      $ 7,489      $ 6,813      $ 6,467      $ 6,573      $ 5,784   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges:

             

Interest incurred (1)

    $ 643      $ 1,087      $ 1,148      $ 1,233      $ 1,133      $ 1,230   

Portion of rent expense deemed to represent interest factor

      12        17        17        21        19        19   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges

    $ 655      $ 1,104      $ 1,165      $ 1,254      $ 1,152      $ 1,249   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Ratio of earnings to fixed charges

      9.3        6.8        5.8        5.2        5.7        4.6   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) Altria Group, Inc. includes interest relating to uncertain tax positions in its provision for income taxes, therefore such amounts are not included in fixed charges in the computation.