NORTHWEST AIRLINES CORP, 10-Q, EX-12.2, 2000-08-10

Exhibit 12.2

NORTHWEST AIRLINES CORPORATION

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK REQUIREMENTS

(Dollars in millions)

		Three months ended June 30				Six Months Ended June 30
		2000		1999		2000		1999
Earnings:
Income before income taxes		$	191	$	198	$	195	$	150
Less: Income from less than 50% owned investees			18		18		57		35
Add:
	Rent expense representative of interest(1)		56		49		111		97
	Interest expense net of capitalized interest		81		88		165		177
	Interest of mandatorily redeemable preferred security holder		7		6		14		13
	Amortization of debt discount and expense		2		4		5		7
	Amortization of interest capitalized		1		1		2		2

	Adjusted earnings	$	320	$	328	$	435	$	411

Fixed charges and preferred stock requirements:
Rent expense representative of interest(1)		$	56	$	49	$	111	$	97
Interest expense net of capitalized interest			81		88		165		177
Interest of mandatorily redeemable preferred security holder			7		6		14		13
Preferred stock requirements			—		—		1		1
Amortization of debt discount and expense			2		4		5		7
Capitalized interest			5		4		9		8

	Fixed charges and preferred stock requirements	$	151	$	151	$	305	$	303

Ratio of earnings to fixed charges and preferred stock requirements			2.12		2.17		1.43		1.36

(1): Calculated as one-third of rentals, which is considered representative of the interest factor.