EX-12.1 3 k49436exv12w1.htm EX-12.1 exv12w1
Exhibit 12.1
CMS ENERGY CORPORATION
Ratios of Earnings to Fixed Charges and Combined Fixed Charges and Preferred Dividends
(Millions of Dollars)
                                                 
    Six Months Ended     Year Ended December 31  
    June 30, 2010     2009     2008     2007     2006     2005  
                            (b)     (c)     (d)  
Earnings as defined (a)
                                                
Pretax income from continuing operations
   $ 309     $ 335     $ 440     $ (317 )   $ (434 )   $ (773 )
Exclude equity basis subsidiaries
     (1 )     2       (1 )     (22 )     (14 )     (17 )
Fixed charges as defined (e)
     228       456       429       489       535       539  
 
                                    
Earnings as defined (e)
   $ 536     $ 793     $ 868     $ 150     $ 87     $ (251 )
 
                                    
 
                                                
Fixed charges as defined (a)
                                                
Interest on long-term debt
   $ 196     $ 383     $ 371     $ 415     $ 492     $ 514  
Estimated interest portion of lease rental
     6       17       25       23       8       6  
Other interest charges
     28       58       35       53       37       21  
 
                                    
Fixed charges as defined (e)
   $ 230     $ 458     $ 431     $ 491     $ 537     $ 541  
Preferred dividends
     8       17       17       12       11       10  
 
                                    
Combined fixed charges and preferred dividends
   $ 238     $ 475     $ 448     $ 503     $ 548     $ 551  
 
                                    
 
                                                
Ratio of earnings to fixed charges
     2.33       1.73       2.01       —       —       —  
 
                                    
 
                                                
Ratio of earnings to combined fixed charges and preferred dividends
     2.25       1.67       1.94       —       —       —  
 
                                    
 
    NOTES:
 
(a)   Earnings and fixed charges as defined in instructions for Item 503 of Regulation S-K.
 
(b)   For the year ended December 31, 2007, fixed charges exceeded earnings by $341 million and combined fixed charges and preferred dividends exceeded earnings by $353 million. Earnings as defined include $204 million in asset impairment charges and a $279 million charge for an electric sales contract termination.
 
(c)   For the year ended December 31, 2006, fixed charges exceeded earnings by $450 million and combined fixed charges and preferred dividends exceeded earnings by $461 million. Earnings as defined include $459 million of asset impairment charges.
 
(d)   For the year ended December 31, 2005, fixed charges exceeded earnings by $792 million and combined fixed charges and preferred dividends exceeded earnings by $802 million. Earnings as defined include $1.2 billion of asset impairment charges.
 
(e)   Preferred dividends of a consolidated subsidiary are included in fixed charges, but excluded from earnings as defined because the amount was not deducted in arriving at pretax income from continuing operations.