EX-12 7 kodk-ex12_539.htm EX-12 RATIO OF EARNINGS TO FIXED CHARGES

Exhibit 12

COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

| Years Ended December 31 , |  |  |  |  | Four Months Ended December 31, |  |  |  |  | Eight Months Ended August 31, |  |  |  |  | Year Ended December 31,
(in millions) | 2016 |  |  | 2015 |  |  | 2014 |  |  |  |  | 2013 |  |  |  |  | 2013 |  |  |  |  | 2012 |  |
Income (loss) from continuing operations before income taxes | $ | 78 |  |  | $ | 2 |  |  | $ | (49 | ) |  |  |  | $ | (55 | ) |  |  |  | $ | 2,406 |  |  |  |  | $ | (1,610 | ) |
Series A preferred stock dividends |  | (3 | ) |  |  | — |  |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |
Income (loss) from continuing operations before income taxes attributable to common stockholders |  | 75 |  |  |  | 2 |  |  |  | (49 | ) |  | # |  |  | (55 | ) |  | # |  |  | 2,406 |  |  | # |  |  | (1,610 | ) |
Adjustments: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expense |  | 60 |  |  |  | 63 |  |  |  | 62 |  |  |  |  |  | 22 |  |  |  |  |  | 106 |  |  |  |  |  | 139 |  |
Interest component of rental expense (1) |  | 9 |  |  |  | 10 |  |  |  | 13 |  |  |  |  |  | 5 |  |  |  |  |  | 12 |  |  |  |  |  | 20 |  |
Amortization of capitalized interest |  | — |  |  |  | — |  |  |  | — |  |  |  |  |  | — |  |  |  |  |  | — |  |  |  |  |  | 2 |  |
Series A preferred stock dividends |  | 3 |  |  |  | — |  |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |
Earnings available for fixed charges | $ | 147 |  |  | $ | 75 |  |  | $ | 26 |  |  | # |  | $ | (28 | ) |  | # |  | $ | 2,524 |  |  | # |  | $ | (1,449 | ) |
Fixed charges: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expense |  | 60 |  |  |  | 63 |  |  |  | 62 |  |  |  |  |  | 22 |  |  |  |  |  | 106 |  |  |  |  |  | 139 |  |
Interest component of rental expense (1) |  | 9 |  |  |  | 10 |  |  |  | 13 |  |  |  |  |  | 5 |  |  |  |  |  | 12 |  |  |  |  |  | 20 |  |
Capitalized interest |  | - |  |  |  | 2 |  |  |  | 3 |  |  |  |  |  | — |  |  |  |  |  | — |  |  |  |  |  | 1 |  |
Series A preferred stock dividends |  | 3 |  |  |  | — |  |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |  | # |  |  | — |  |
Total fixed charges and preferred stock dividends | $ | 72 |  |  | $ | 75 |  |  | $ | 78 |  |  | # |  | $ | 27 |  |  | # |  | $ | 118 |  |  | # |  | $ | 160 |  |
Ratio of earnings to combined fixed charges and preferred stock dividends |  | 2.0 |  |  |  | 1.0 |  |  | * |  |  |  |  | ** |  |  |  |  |  | 21.4 |  |  |  |  | * * * |  |

| (1) | Interest component of rental expense is estimated to equal 1/3 of such expense, which is considered a reasonable approximation of the interest factor.

| * | Earnings for the year ended December 31, 2014 were inadequate to cover fixed charges. The coverage deficiency was $52 million.

| * * | Earnings for the four months ended December 31, 2013 were inadequate to cover fixed charges. The coverage deficiency was $55 million.

| * * * | Earnings for the year ended December 31, 2012 were inadequate to cover fixed charges. The coverage deficiency was $1,609 million.