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                                                                                                                         EXHIBIT 12

          GENERAL AMERICAN TRANSPORTATION CORPORATION AND SUBSIDIARIES

               COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
                         (In Millions Except For Ratios)



                                                                        1997          1996          1995          1994         1993
                                                                       ------        ------        ------        ------       -----


<S>                                                                  <C>           <C>           <C>           <C>          <C>    
Earnings available for fixed charges:
     Net (loss) income .......................................       $  (41.2)     $   80.3      $   93.9      $   87.0     $  74.1

Add (deduct):
     Income taxes (benefit) expense ..........................          (20.7)         41.3          47.2          42.7        45.1
     Equity in net earnings of affiliated
          companies, net of distributions received ...........           (9.0)         (9.6)        (12.8)        (14.2)      (11.5)
     Interest on indebtedness and amortization
          of debt discount and expense .......................          118.4         109.1          93.2          76.5        76.6
     Amortization of capitalized interest ....................            1.4           1.1           1.1           1.1         1.1
     Portion of rents representative of interest
          factor (deemed to be one-third) ....................           30.0          27.0          21.7          16.8        13.2
                                                                     --------      --------      --------      --------      ------

     Total earnings available for fixed charges ..............       $   78.9      $  249.2      $  244.3      $  209.9      $198.6
                                                                     ========      ========      ========      ========      ======

Fixed charges:
     Interest on indebtedness and amortization
          of debt discount and expense .......................       $  118.4      $  109.1      $   93.2      $   76.5      $ 76.6
     Capitalized interest ....................................             .9           3.7           4.6           2.7         2.4
     Portion of rents representative of interest
          factor (deemed to be one-third) ....................           30.0          27.0          21.7          16.8        13.2
                                                                     --------      --------      --------      --------      ------

     Total fixed charges .....................................       $  149.3      $  139.8      $  119.5      $   96.0      $ 92.2
                                                                     ========      ========      ========      ========      ======

Ratio of earnings to fixed charges (A).......................            .53x (B)     1.78x         2.04x         2.19x       2.15x

<FN>


(A)     The ratio of earnings to fixed  charges  represents  the number of times
        "fixed charges" are covered by "earnings."  "Fixed  charges"  consist of
        interest on outstanding  debt and capitalized  interest,  one-third (the
        proportion deemed representative of the interest factor) of rentals, and
        amortization  of  debt  discount  and  expense.  "Earnings"  consist  of
        consolidated  net income  before  income taxes and fixed  charges,  less
        equity in net earnings of  affiliated  companies,  net of  distributions
        received.

(B)     In 1997, net loss included restructuring charges of $123.8 million.  Excluding the charges, the "ratio of earnings to
        fixed charges" was 1.77x.  See Note O - Restructuring Charges.

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