EX-12 2 ex12.htm COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES ex12.htm
Exhibit 12


CENTERPOINT ENERGY, INC. AND SUBSIDIARIES

COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)

   
Nine Months Ended
September 30,
  
   
2008 (1)
    
2009 (1)
  
             
Net Income
   $ 359     $ 267  
Equity in earnings of unconsolidated affiliates
     (46 )     (8 )
Income taxes
     212       129  
Capitalized interest
     (10 )     (5 )
      515       383  
                 
Fixed charges, as defined:
                
                 
Interest
     448       482  
Capitalized interest
     10       5  
Interest component of rentals charged to operating expense
     11       8  
Total fixed charges
     469       495  
                 
Earnings, as defined
     984       878  
                 
Ratio of earnings to fixed charges
     2.10       1.77  
________
 
(1)
Excluded from the computation of fixed charges for the nine months ended September 30, 2008 and 2009 is interest expense of $8 million and interest income of $3 million, respectively, which is included in income tax expense.