EX-12 3 a2202123zex-12.htm EX-12

Exhibit 12

 

CF INDUSTRIES HOLDINGS, INC.

RATIO OF EARNINGS TO FIXED CHARGES

 

 

 

Year ended December 31,

 

(Dollars in millions) 

 

2010

 

2009

 

2008

 

2007

 

2006

 

 

 

 

 

 

 

 

 

 

 

 

 

Pretax earnings from continuing operations

 

$

687.7

 

$

695.6

 

$

1,175.4

 

$

625.9

 

$

81.8

 

Plus:

 

 

 

 

 

 

 

 

 

 

 

Fixed charges

 

260.3

 

6.7

 

6.9

 

6.1

 

6.6

 

Distributed income of equity investees

 

2.2

 

—

 

—

 

—

 

—

 

Amortization of capitalized interest

 

3.8

 

3.3

 

3.6

 

3.2

 

3.5

 

Less: preference security dividends of Terra Nitrogen Company, L.P.

 

(23.1

)

—

 

—

 

—

 

—

 

Capitalized interest

 

(7.6

)

—

 

—

 

—

 

—

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings for fixed charge coverage ratio calculation

 

$

923.3

 

$

705.6

 

$

1,185.9

 

$

635.2

 

$

91.9

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges

 

 

 

 

 

 

 

 

 

 

 

Interest expensed (a) 

 

$

221.3

 

$

1.5

 

$

1.6

 

$

1.7

 

$

2.9

 

Capitalized interest

 

7.6

 

—

 

—

 

—

 

—

 

Estimated interest in rent expense (b) 

 

8.3

 

5.2

 

5.3

 

4.4

 

3.7

 

Preference security dividends of Terra Nitrogen Company, L.P.

 

23.1

 

—

 

—

 

—

 

—

 

 

 

$

260.3

 

$

6.7

 

$

6.9

 

$

6.1

 

$

6.6

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

3.5x

 

105.3x

 

171.9x

 

104.1x

 

13.9x

 

 

(a) Including amortized premiums, discounts, and capitalized expenses related to indebtedness.

 

(b) Assumes that the interest component is 13% of total rent expense in 2010 and 14% in all prior years.