EX-12 6 exhibit_12.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES exhibit_12.htm
Exhibit 12
 
 
CENTERPOINT ENERGY, INC. AND SUBSIDIARIES

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

   
    2005
    
     2006
    
     2007 (1)
    
      2008 (1)
    
     2009 (1)
  
                               
Income from continuing operations
   $ 220     $ 427     $ 395     $ 446     $ 372  
Equity in earnings of unconsolidated affiliates      (6 )       (6 )      (16 )      (51 )       (15 ) 
Income taxes for continuing operations
     150       59       193       277       176  
Capitalized interest
     (4 )     (10 )     (22 )     (12 )     (4 )
      360       470       550       660       529  
                                         
Fixed charges, as defined:
                                        
                                         
Interest
     718       608       632       604       644  
Capitalized interest
     4       10       22       12       4  
Interest component of rentals charged to operating expense
     12       19       16       15       12  
Total fixed charges
     734       637       670       631       660  
                                         
Earnings, as defined
   $ 1,094     $ 1,107     $ 1,220     $ 1,291     $ 1,189  
                                         
Ratio of earnings to fixed charges
     1.49       1.74       1.82       2.05       1.80  
________
 
(1)
Excluded from the computation of fixed charges for the years ended December 31, 2007, 2008 and 2009 is interest income of $4 million, interest expense of $9 million and interest income of $3 million, respectively, which is included in income tax expense.