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Dow Chemical Co (NYSE:DOW)
Interest Expense
$-983 Mil (TTM As of Sep. 2014)

Interest Expense is the amount reported by a company or individual as an expense for borrowed money. Dow Chemical Co's interest expense for the three months ended in Sep. 2014 was $-233 Mil. Its interest expense for the trailing twelve months (TTM) ended in Sep. 2014 was $-983 Mil.

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company’s Operating Income (EBIT) by its Interest Expense. Dow Chemical Co's Operating Income for the three months ended in Sep. 2014 was $1,359 Mil. Dow Chemical Co's Interest Expense for the three months ended in Sep. 2014 was $-233 Mil. Dow Chemical Co's interest coverage for the quarter that ended in Sep. 2014 was 5.83. The higher the ratio, the stronger the company’s financial strength is.


Definition

Interest Expense is the amount reported by a company or individual as an expense for borrowed money.

Dow Chemical Co Interest Expense for the trailing twelve months (TTM) ended in Sep. 2014 was -262 (Dec. 2013 ) + -246 (Mar. 2014 ) + -242 (Jun. 2014 ) + -233 (Sep. 2014 ) = $-983 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company’s Operating Income (EBIT) by its Interest Expense. The higher, the better.

Dow Chemical Co's interest expense for the three months ended in Sep. 2014 was $-233 Mil. Its operating income for the three months ended in Sep. 2014 was $1,359 Mil. And its Long-Term Debt for the three months ended in Sep. 2014 was $19,001 Mil.

Dow Chemical Co's Interest Coverage for the quarter that ended in Sep. 2014 is calculated as

Interest Coverage=-1*Operating Income (Q: Sep. 2014 )/Interest Expense (Q: Sep. 2014 )
=-1*1359/-233
=5.83

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

The higher the ratio, the stronger the company’s financial strength is.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Dow Chemical Co Annual Data

Dec04Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13
Interest Expense -747-702-616-584-648-1,571-1,473-1,341-1,269-1,101

Dow Chemical Co Quarterly Data

Jun12Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14
Interest Expense -312-318-310-296-279-264-262-246-242-233
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