Exhibit 12
SOUTHWEST AIRLINES CO.
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
($ in millions)
Year Ended December 31,
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1996 1995 1994 1993 1992
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Earnings
Income before income taxes and
cumulative effect of accounting
changes $341.4 $305.1 $299.5 $259.6 $157.4
Add: Fixed charges 184.1 169.1 141.6 132.1 113.8
Less: Interest capitalized 22.3 31.4 26.3 17.8 15.4
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Total $503.2 $442.8 $414.8 $373.9 $255.8
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Fixed charges
Interest expense $37.0 $27.4 $27.1 $40.7 $ 43.7
Add: Interest capitalized 22.3 31.4 26.3 17.8 15.4
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Gross interest expense 59.3 58.8 53.4 58.5 59.1
Add: Interest factor of operating
lease expense 124.8 110.3 88.2 73.6 54.7
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Total $184.1 $169.1 $141.6 $132.1 $113.8
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Ratio of earnings to fixed charges 2.73 2.62 2.93 2.83 2.25
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