EX-12.1 2 rgp12312013ex121earningsfc.htm RATIO OF EARNINGS TO FIXED CHARGES RGP 12.31.2013 EX 12.1 (Earnings / FC Ratio)


Exhibit 12.1
Regency Energy Partners LP
Computation of Ratio of Earnings to Fixed Charges
(in millions, except for ratio amounts)
(Unaudited)
 
Successor
 
 
Predecessor
 
Year Ended
December 31, 2013
 
Year Ended
December 31, 2012
 
Year Ended
December 31, 2011
 
Period from
Acquisition (May 26, 2010) to
December 31, 2010
 
 
Period from
January 1, 2010 to
May 25, 2010
 
Year Ended
December 31, 2009
Fixed Charges:
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense, net
$
164

 
$
122

 
$
103

 
$
48

 
 
$
35

 
$
78

Capitalized interest
2

 
1

 
1

 
1

 
 
1

 
2

Interest charges included in rental expense (a)
4

 
2

 
2

 
1

 
 

 
1

Distribution to the Series A Preferred Units
6

 
8

 
8

 
4

 
 
2

 
4

Accretion of the Series A Preferred Units

 
2

 

 

 
 

 

Total fixed charges (b)
$
176

 
$
135

 
$
114

 
$
54

 
 
$
38

 
$
85

Earnings:
 
 
 
 
 
 
 
 
 
 
 
 
Income (loss) from continuing operations before income taxes
$
26

 
$
34

 
$
74

 
$
(4
)
 
 
$
(5
)
 
$
142

Less:
 
 
 
 
 
 
 
 
 
 
 
 
Income from unconsolidated affiliates
135

 
105

 
120

 
54

 
 
16

 
8

Capitalized interest
2

 
1

 
1

 
1

 
 
1

 
2

Noncontrolling interests
8

 
2

 
2

 

 
 

 

Add:
 
 
 
 
 
 
 
 
 
 
 
 
Distributed income from unconsolidated affiliates
142

 
121

 
119

 
57

 
 
12

 
8

Fixed charges
176

 
135

 
114

 
54

 
 
38

 
85

Amortization of capitalized interest
1

 

 
1

 

 
 
1

 

Total earnings available for fixed charges (c)
$
200

 
$
182

 
$
185

 
$
52

 
 
$
29

 
$
225

Ratio of earnings to fixed charges (c)/(b) (1)
1.14

 
1.35

 
1.63

 

 
 

 
2.66

(1) Earnings were insufficient to cover fixed charges by:
$

 
$

 
$

 
$
2

 
 
$
9

 
$

_______________________
(a)    Amount approximates reasonable interest expense included within operating lease payments.