EX-12 2 cf-12312014xex12.htm EXHIBIT 12 CF-12.31.2014-Ex12


Exhibit 12
CF INDUSTRIES HOLDINGS, INC.
RATIO OF EARNINGS TO FIXED CHARGES
 
 
Year ended December 31,
 
(Dollars in millions)
 
2014
 
2013
 
2012
 
2011
 
2010
 
 
 
 
 
 
 
 
 
 
 
 
 
Pretax income from continuing operations
 
$
2,187.3

 
$
2,209.7

 
$
2,829.5

 
$
2,645.6

 
$
687.7

 
Plus:
 
 
 
 
 
 
 
 
 
 
 
Fixed charges
 
312.3

 
264.0

 
232.3

 
229.7

 
260.3

 
Distributed income of equity investees
 
78.9

 
59.5

 
109.8

 
130.2

 
2.2

 
Amortization of capitalized interest
 
1.3

 
4.1

 
4.1

 
3.9

 
3.8

 
Less:
 
 
 
 
 
 
 
 
 
 
 
Preference security dividends of Terra Nitrogen Company, L.P.
 
(46.0
)
 
(66.2
)
 
(77.8
)
 
(64.1
)
 
(23.1
)
 
Capitalized interest
 
(74.2
)
 
(26.8
)
 
(9.3
)
 
(7.9
)
 
(7.6
)
 
Earnings for fixed charge coverage ratio
 
$
2,459.6

 
$
2,444.3

 
$
3,088.6

 
$
2,937.4

 
$
923.3

 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges
 
 
 
 
 
 
 
 
 
 
 
Interest expensed (a)
 
$
178.2

 
$
152.2

 
$
135.3

 
$
147.2

 
$
221.3

 
Capitalized interest
 
74.2

 
26.8

 
9.3

 
7.9

 
7.6

 
Estimated interest in rent expense (b)
 
13.9

 
18.8

 
9.9

 
10.5

 
8.3

 
Preference security dividends of Terra Nitrogen Company, L.P.
 
46.0

 
66.2

 
77.8

 
64.1

 
23.1

 
 
 
$
312.3

 
$
264.0

 
$
232.3

 
$
229.7

 
$
260.3

 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
7.9

x
9.3

x
13.3

x
12.8

x
3.5

x

(a) Including amortized premiums, discounts, and capitalized expenses related to indebtedness.
(b) Assumes that the interest component is 15% of total rent expense in 2014, 19% in 2013, 11% in 2012, and 13% in 2011 and 2010.