**EXHIBIT 12**

** **

OWENS-ILLINOISGROUP, INC.

COMPUTATION OFRATIO OF EARNINGS TO FIXED CHARGES

(Millions ofdollars, except ratios)

 
| ** **                                                                                          | ** ** | **Years ended December 31,** | ** ** |
|-----------------------------------------------------------------------------------------------------|------------|---------------------------------------------|------------|
| ** **                                                                                          | ** ** | **2007**                                    | ** ** | **2006** | ** ** | **2005** | ** ** |
| Earnings from  continuing operations before income taxes and minority share owners’  interests |       | $                                           | 621.6      |   | $ | 285.1 |   | $ | (72.1 | ) |
| Less: Equity  earnings                                                                              |       | (34.1                                       | )          | (23.4 | ) | (20.5 | ) |
| Add: Total fixed  charges deducted from earnings                                                    |       | 362.7                                       |       | 361.3 |   | 336.5 |   |
| Proportional  share of pre-tax earnings of 50% owned associates                                     |       | 7.7                                         |       | 7.9 |   | 8.9 |   |
| Dividends received  from equity investees                                                           |       | 21.7                                        |       | 43.5 |   | 11.0 |   |
| Earnings  available for payment of fixed charges                                                    |       | $                                           | 979.6      |   | $ | 674.4 |   | $ | 263.8 |   |
| Fixed charges  (including the Company’s proportional share of 50% owned associates):           |       |                                        |       |   |   |   |   |
| Interest expense                                                                                    |       | $                                           | 340.0      |   | $ | 343.3 |   | $ | 318.7 |   |
| Portion of  operating lease rental deemed to be interest                                            |       | 14.1                                        |       | 12.3 |   | 11.1 |   |
| Amortization of  deferred financing costs and debt discount expense.                                |       | 8.6                                         |       | 5.7 |   | 6.7 |   |
| Total fixed  charges deducted from earnings                                                         |       | $                                           | 362.7      |   | $ | 361.3 |   | $ | 336.5 |   |
|                                                                                                |       |                                        |       |   |   |   |   |
| Deficiency of  earnings available to cover fixed charges                                            |       |                                        |       |   |   | $ | 72.7 |   |
| Ratio of  earnings to fixed charges                                                                 |       | 2.7                                         |       | 1.9 |   |   |   |
|                                                                                                     |            |                                             |            |  |  |  |  |  |  |  |  |

 

1

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OWENS-ILLINOISGROUP, INC.

COMPUTATION OFRATIO OF EARNINGS TO FIXED CHARGES

(Millions ofdollars, except ratios)

 
| ** **                                                                                          | ** ** | **Years ended December 31,** | ** ** |
|-----------------------------------------------------------------------------------------------------|------------|---------------------------------------------|------------|
| ** **                                                                                          | ** ** | **2004**                                    | ** ** | **2003** | ** ** |
| Earnings from  continuing operations before income taxes and minority share owners’  interests |       | $                                           | 395.8      |   | $ | 169.9 |   |
| Less: Equity  earnings                                                                              |       | (26.1                                       | )          | (25.0 | ) |
| Add: Total fixed  charges deducted from earnings                                                    |       | 342.0                                       |       | 273.0 |   |
| Proportional  share of pre-tax earnings of 50% owned associates                                     |       | 11.0                                        |       | 8.1 |   |
| Dividends  received from equity investees                                                           |       | 12.8                                        |       | 19.3 |   |
| Earnings  available for payment of fixed charges                                                    |       | $                                           | 735.5      |   | $ | 445.3 |   |
| Fixed charges  (including the Company’s proportional share of 50% owned associates):           |       |                                        |       |   |   |
| Interest expense                                                                                    |       | $                                           | 323.0      |   | $ | 255.1 |   |
| Portion of  operating lease rental deemed to be interest                                            |       | 13.0                                        |       | 11.7 |   |
| Amortization of  deferred financing costs and debt discount expense                                 |       | 6.0                                         |       | 6.2 |   |
| Total fixed  charges deducted from earnings                                                         |       | $                                           | 342.0      |   | $ | 273.0 |   |
|                                                                                                |       |                                        |       |   |   |
| Ratio of  earnings to fixed charges                                                                 |       | 2.2                                         |       | 1.6 |   |

 

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