Year Ended December 31, | |||||||||||||||
2012 | 2011 | 2010 | 2009 | 2008 | |||||||||||
(In millions except ratios) | As Adjusted1 | ||||||||||||||
EARNINGS: | |||||||||||||||
Income from continuing operations before income taxes and changes in accounting principles | $ | 11,809 | $ | 11,458 | $ | 14,207 | $ | 8,902 | $ | 7,525 | |||||
Fixed charges | 486 | 505 | 792 | 422 | 513 | ||||||||||
Less: | |||||||||||||||
Capitalized interest, net | (1 | ) | (1 | ) | (1 | ) | (4 | ) | (7 | ) | |||||
Equity (income) loss - net of dividends | (426 | ) | (269 | ) | (671 | ) | (359 | ) | 1,128 | ||||||
Adjusted earnings | $ | 11,868 | $ | 11,693 | $ | 14,327 | $ | 8,961 | $ | 9,159 | |||||
FIXED CHARGES: | |||||||||||||||
Gross interest incurred | $ | 398 | $ | 418 | $ | 734 | $ | 359 | $ | 445 | |||||
Interest portion of rent expense | 88 | 87 | 58 | 63 | 68 | ||||||||||
Total fixed charges | $ | 486 | $ | 505 | $ | 792 | $ | 422 | $ | 513 | |||||
Ratios of earnings to fixed charges | 24.4 | 23.2 | 18.1 | 21.2 | 17.9 |
1 | Effective January 1, 2012, the Company elected to change our accounting methodology for determining the market-related value of assets for our U.S. qualified defined benefit pension plans. The Company's change in accounting methodology has been applied retrospectively, and we have adjusted all prior period financial information presented herein as required. |