EX-12.1 2 se-20141231ex121.htm EXHIBIT 12.1 SE-2014.12.31 Ex 12.1


EXHIBIT 12.1
SPECTRA ENERGY CORP
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
The ratio of earnings to fixed charges is calculated using the Securities and Exchange Commission guidelines.
 
 
 
Year Ended December 31,
 
 
2014
 
2013
 
2012
 
2011
 
2010
 
 
(dollars in millions)
Earnings as defined for fixed charges calculation
 
 
 
 
 
 
 
 
 
 
Add:
 
 
 
 
 
 
 
 
 
 
Pretax income from continuing operations (a)
 
$
1,304

 
$
1,133

 
$
1,033

 
$
1,195

 
$
1,076

Fixed charges
 
735

 
744

 
708

 
695

 
682

Distributed income of equity investees
 
646

 
348

 
324

 
516

 
408

Deduct:
 
 
 
 
 
 
 
 
 
 
Preference security dividend requirements of consolidated subsidiaries
 
23

 
26

 
27

 
27

 
25

Interest capitalized (b)
 
20

 
50

 
47

 
30

 
15

Total earnings (as defined for the Fixed Charges calculation)
 
$
2,642

 
$
2,149

 
$
1,991

 
$
2,349

 
$
2,126

Fixed charges:
 
 
 
 
 
 
 
 
 
 
Interest on debt, including capitalized portions
 
$
699

 
$
707

 
$
670

 
$
656

 
$
646

Estimate of interest within rental expense
 
13

 
11

 
11

 
12

 
11

Preference security dividend requirements of consolidated subsidiaries
 
23

 
26

 
27

 
27

 
25

Total fixed charges
 
$
735

 
$
744

 
$
708

 
$
695

 
$
682

Ratio of earnings to fixed charges
 
3.6

 
2.9

 
2.8

 
3.4

 
3.1

________ 
(a)
Excludes noncontrolling interests and income or loss from equity investees.
(b)
Excludes equity costs related to allowance for funds used during construction that are included in Other Income and Expenses, Net in the Consolidated Statements of Operations.