EX-12 2 ctlex12q3.htm EARNINGS TO FIXED COSTS CTL Ex 12 Q3


Exhibit 12
CENTURYLINK, INC.
CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES
(UNAUDITED)

 
 
Nine Months Ended September 30,
 
Years Ended December 31,
 
 
2013
 
2012
 
2011
 
2010
 
2009
 
2008
 
 
(Dollars in Millions)
(Loss) income before income taxes and cumulative effect of change in accounting principle
 
$
(106
)
 
1,250

 
948

 
1,531

 
813

 
561

Less: income from equity investee
 
(12
)
 
(15
)
 
(13
)
 
(16
)
 
(19
)
 
(13
)
Add: estimated fixed charges
 
1,110

 
1,504

 
1,223

 
615

 
418

 
229

Add: estimated amortization of capitalized interest
 
11

 
15

 
12

 
2

 
2

 
1

Add: distributed income of equity investee
 
10

 
12

 
14

 
16

 
20

 
16

Less: preferred dividends
 
—

 
—

 
—

 
—

 
—

 
—

Less: interest capitalized
 
(30
)
 
(43
)
 
(25
)
 
(13
)
 
(3
)
 
(2
)
Total earnings available for fixed charges
 
$
983

 
2,723

 
2,159

 
2,135

 
1,231

 
792

Estimate of interest factor on rentals
 
$
110

 
142

 
126

 
57

 
48

 
27

Interest expense, including amortization of premiums, discounts and debt issuance costs
 
970

 
1,319

 
1,072

 
545

 
367

 
200

Interest capitalized
 
30

 
43

 
25

 
13

 
3

 
2

Total fixed charges
 
$
1,110

 
1,504

 
1,223

 
615

 
418

 
229

Ratio of earnings to fixed charges (excess of fixed charges over earnings)
 
(127
)
 
1.81

 
1.77

 
3.47

 
2.94

 
3.46