EX-12 3 tex123117ex-12.htm EXHIBIT 12 CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
EXHIBIT 12
TEREX CORPORATION
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
(amounts in millions)

| Year Ended December 31, |
| 2017 |  |  | 2016 |  |  | 2015 |  |  | 2014 |  |  | 2013 |
EARNINGS |  |  |  |  |  |  |  |  |  |  |  |  |  |
Income (loss) from continuing operations before income taxes | $ | 112.0 |  |  |  | $ | (270.7 | ) |  |  | $ | 195.7 |  |  |  | $ | 278.6 |  |  |  | $ | 284.2 |  |
Adjustments: |  |  |  |  |  |  |  |  |  |  |  |  |  |
Undistributed (income) loss of less than 50% owned investments | 0.1 |  |  |  | (0.4 | ) |  |  | 1.6 |  |  |  | 8.4 |  |  |  | 4.8 |  |
Fixed charges | 133.3 |  |  |  | 117.0 |  |  |  | 124.6 |  |  |  | 141.9 |  |  |  | 149.9 |  |
Earnings (loss) | $ | 245.4 |  |  |  | $ | (154.1 | ) |  |  | $ | 321.9 |  |  |  | $ | 428.9 |  |  |  | $ | 438.9 |  |
FIXED CHARGES |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expense, including debt discount amortization | 63.3 |  |  |  | 96.6 |  |  |  | 102.8 |  |  |  | 115.3 |  |  |  | 120.1 |  |
Amortization of debt issuance costs | 4.2 |  |  |  | 5.4 |  |  |  | 5.3 |  |  |  | 7.4 |  |  |  | 8.5 |  |
Loss on early extinguishment of debt | 52.6 |  |  |  | 0.4 |  |  |  | 0.1 |  |  |  | 2.6 |  |  |  | 5.2 |  |
Portion of rental expense representative of interest factor (assumed to be 33%) | 13.2 |  |  |  | 14.6 |  |  |  | 16.4 |  |  |  | 16.6 |  |  |  | 16.1 |  |
Fixed charges | $ | 133.3 |  |  |  | $ | 117.0 |  |  |  | $ | 124.6 |  |  |  | $ | 141.9 |  |  |  | $ | 149.9 |  |
RATIO OF EARNINGS TO FIXED CHARGES | 1.8 |  | x |  | — |  | (1) |  | 2.6 |  | x |  | 3.0 |  | x |  | 2.9 |  | x
AMOUNT OF EARNINGS DEFICIENCY FOR COVERAGE OF FIXED CHARGES | $ | — |  |  |  | $ | 271.1 |  |  |  | $ | — |  |  |  | $ | — |  |  |  | $ | — |  |
CALCULATION EXCLUDING LOSS ON EARLY EXTINGUISHMENT OF DEBT: |  |  |  |  |  |  |  |  |  |  |  |  |  |
RATIO OF EARNINGS TO FIXED CHARGES | 2.4 |  | x |  | — |  | (1) |  | 2.6 |  | x |  | 3.1 |  | x |  | 3.0 |  | x
AMOUNT OF EARNINGS DEFICIENCY FOR COVERAGE OF FIXED CHARGES | $ | — |  |  |  | $ | 271.1 |  |  |  | $ | — |  |  |  | $ | — |  |  |  | $ | — |  |
(1) less than 1.0x |  |  |  |  |  |  |  |  |  |  |  |  |  |