EXHIBIT 12.1
NOVELIS, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(IN MILLIONS OF US$)
YEARS ENDED DECEMBER 31, THREE MONTHS
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2004 2003 2002 2001 2000 March 31, 2005
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EARNINGS BEFORE FIXED CHARGES
Net income (loss) from continuing operations
before cumulative effect of accounting change
and extraordinary items $ 55 $ 157 $ 75 $(137) $ 82 $ 29
Less: Equity income of less than 50%
owned companies (6) (6) (8) (5) (6) (2)
Plus: Dividends received from less than
50% owned companies 2 -- -- -- -- --
Plus: Minority interest of subsidiaries that
have fixed charges 10 3 (8) (17) (10) 6
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EARNINGS BEFORE FIXED CHARGES $ 61 $ 154 $ 59 $(159) $ 66 $ 33
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FIXED CHARGES
Amount representative of interest factor in
rentals $ 6 $ 5 $ 5 $ 5 $ 5 $ 1
Interest expense - net 74 40 42 64 62 44
Interest expense, 50% owned companies 2 1 5 7 7 --
Capitalized interest 1 1 1 -- 1 --
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TOTAL FIXED CHARGES $ 83 $ 47 $ 53 $ 76 $ 75 $ 45
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Less: Capitalized interest (1) (1) (1) -- (1) --
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FIXED CHARGES ADDED TO INCOME/(LOSS) $ 82 $ 46 $ 52 $ 76 $ 74 $ 45
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Plus: Amortization of capitalized interest 6 8 7 9 8 2
Income taxes 166 50 77 6 60 29
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EARNINGS BEFORE FIXED CHARGES AND INCOME TAXES $ 315 $ 258 $ 195 $ (68) $ 208 $ 109
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RATIO OF EARNINGS TO FIXED CHARGES 3.8x 5.5x 3.7x (0.9)x 2.8x 2.4x
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