Six Months Ended June 30, | |||||||
2016 | 2015 | ||||||
Earnings available to cover fixed charges: | |||||||
Income before income taxes | $ | 407 | $ | 444 | |||
Less: Income from equity investees | 1 | 1 | |||||
406 | 443 | ||||||
Plus: Fixed charges | 118 | 109 | |||||
Amortization of capitalized interest | 3 | 2 | |||||
Less: Capitalized interest | 3 | 4 | |||||
Earnings available to cover fixed charges | $ | 524 | $ | 550 | |||
Fixed charges (*): | |||||||
Interest | $ | 104 | $ | 92 | |||
Capitalized interest | 3 | 4 | |||||
Interest portion of rental expense | 11 | 13 | |||||
Total fixed charges | $ | 118 | $ | 109 | |||
Ratio of earnings to fixed charges | 4.44x | 5.05x | |||||
(*) | Consists of interest expense on all indebtedness (including costs related to the amortization of deferred financing costs), capitalized interest and the portion of operating lease rental expense that is representative of the interest factor. |