**EXHIBIT 12**

 

OWENS-ILLINOISGROUP, INC.

COMPUTATION OFRATIO OF EARNINGS TO FIXED CHARGES

(Millions ofdollars, except ratios)

 
| ** **                                                                                 | ** ** | **Years ended December 31,** | ** ** |
|--------------------------------------------------------------------------------------------|------------|-----------------------------------|------------|
| ** **                                                                                 | ** ** | **2009**                          | ** ** | **2008** | ** ** | **2007** | ** ** |
| Earnings from continuing operations before income  taxes                                   |       | $                                 | 505.3      |   | $ | 808.4 |   | $ | 621.6 |   |
| Less: Equity earnings                                                                      |       | (52.6                             | )          | (50.8 | ) | (34.1 | ) |
| Add: Total fixed charges deducted from earnings                                            |       | 246.6                             |       | 260.5 |   | 362.7 |   |
| Proportional share of pre-tax earnings of 50%  owned associates                            |       | 25.6                              |       | 12.6 |   | 7.7 |   |
| Dividends received from equity investees                                                   |       | 33.8                              |       | 24.5 |   | 21.7 |   |
| Earnings available for payment of fixed charges                                            |       | $                                 | 758.7      |   | $ | 1,055.2 |   | $ | 979.6 |   |
|                                                                                       |       |                              |       |   |   |   |   |
| Fixed charges (including the Company’s proportional  share of 50% owned

associates): |       |                              |       |   |   |   |   |
| Interest expense                                                                           |       | $                                 | 230.4      |   | $ | 245.1 |   | $ | 340.0 |   |
| Portion of operating lease rental deemed to be  interest                                   |       | 5.8                               |       | 7.5 |   | 14.1 |   |
| Amortization of deferred financing costs and debt  discount expense                        |       | 10.4                              |       | 7.9 |   | 8.6 |   |
| Total fixed charges deducted from earnings                                                 |       | $                                 | 246.6      |   | $ | 260.5 |   | $ | 362.7 |   |
|                                                                                       |       |                              |       |   |   |   |   |
| Ratio of earnings to fixed charges                                                         |       | 3.1                               |       | 4.1 |   | 2.7 |   |

 

1

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OWENS-ILLINOISGROUP, INC.

COMPUTATION OFRATIO OF EARNINGS TO FIXED CHARGES

(Millions ofdollars, except ratios)

 
| ** **                                                                                | ** ** | **Years ended December 31,** | ** ** |
|-------------------------------------------------------------------------------------------|------------|-----------------------------------|------------|
| ** **                                                                                | ** ** | **2006**                          | ** ** | **2005** | ** ** |
| Earnings (loss) from continuing operations before  income taxes                           |       | $                                 | 285.1      |   | $ | (72.1 | ) |
| Less: Equity earnings                                                                     |       | (23.4                             | )          | (20.5 | ) |
| Add: Total fixed charges deducted from earnings                                           |       | 361.3                             |       | 336.5 |   |
| Proportional share of pre-tax earnings of 50%  owned associates                           |       | 7.9                               |       | 8.9 |   |
| Dividends received from equity investees                                                  |       | 43.5                              |       | 11.0 |   |
| Earnings available for payment of fixed charges                                           |       | $                                 | 674.4      |   | $ | 263.8 |   |
|                                                                                      |       |                              |       |   |   |
| Fixed charges (including the Company’s proportional  share of 50% owned associates): |       |                              |       |   |   |
| Interest expense                                                                          |       | $                                 | 343.3      |   | $ | 318.7 |   |
| Portion of operating lease rental deemed to be  interest                                  |       | 12.3                              |       | 11.1 |   |
| Amortization of deferred financing costs and debt  discount expense                       |       | 5.7                               |       | 6.7 |   |
| Total fixed charges deducted from earnings                                                |       | $                                 | 361.3      |   | $ | 336.5 |   |
|                                                                                      |       |                              |       |   |   |
| Ratio of earnings to fixed charges                                                        |       | 1.9                               |       | 2.2 |   |

 

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