EX-12.1 41 a121-earningstofixedcharge.htm EXHIBIT 12.1 Exhibit
EXHIBIT 12.1
ENBRIDGE INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES


 
 
 
 
 
For the Year Ended December 31,
 
 
 
 
 
2017
2016
2015
2014
2013
 
 
 
 
 
 
(dollars in millions, except ratio amounts)
 
 
 
 
 
 
 
 
 
 
 
 
Earnings/(loss)
$
3,266
$
2,309
$
(159)
$
1,562
$
490
 
Add: Income tax (recovery)/expense
 
(2,697)
 
142
 
170
 
611
 
123
 
Less: Income from equity investments
 
(1,102)
 
(428)
 
(475)
 
(368)
 
(330)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Earnings/(loss) from continuing operations before income taxes and
 
 
 
 
 
 
 
 
 
 
 
noncontrolling interests
 
(533)
 
2,023
 
(464)
 
1,805
 
283
 
Add:
Fixed Charges
 
3,121
 
2,057
 
2,120
 
1,597
 
1,243
 
 
 
Distributed income of equity investees
 
1,264
 
827
 
727
 
565
 
701
 
Less:
Interest capitalized
 
(391)
 
(321)
 
(353)
 
(416)
 
(250)
 
 
 
Preferred dividend requirements of consolidated subsidiaries
 
(35)
 
(2)
 
(2)
 
(2)
 
(2)
 
Total earnings as adjusted
$
3,426
$
4,584
$
2,028
$
3,549
$
1,975
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed Charges
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense - net
$
2,556
$
1,590
$
1,624
$
1,129
$
947
 
 
Estimated interest portion of rental expense
 
174
 
146
 
143
 
52
 
46
 
 
Interest capitalized
 
391
 
321
 
353
 
416
 
250
 
Fixed Charges
$
3,121
$
2,057
$
2,120
$
1,597
$
1,243
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Preferred dividend pre-tax income requirements
 
58
 
313
 
(20)
 
357
 
266
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Combined fixed charges and preferred dividends
 
3,179
 
2,370
 
2,100
 
1,954
 
1,509
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges¹
 
1.1
 
2.2
 
1.0
 
2.2
 
1.6
 
Ratio of earnings to fixed charges and preferred dividends
 
1.1
 
1.9
 
1.0
 
1.8
 
1.3
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
¹ The ratio coverage in 2015 was less than 1:1. We would have needed to generate additional earnings of $92 million to achieve a coverage ratio of 1:1 in 2015.