EX-12.1 2 d265218dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - DUKE ENERGY CORPORATION Computation of Ratio of Earnings to Fixed Charges - DUKE ENERGY CORPORATION

EXHIBIT 12.1

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES – DUKE ENERGY CORPORATION

The ratio of earnings to fixed charges is calculated using the Securities and Exchange Commission guidelines.

 

     Year Ended December 31,  
     2011      2010      2009      2008      2007  
     (dollars in millions)  

Earnings as defined for fixed charges calculation

               

Add:

               

Pre-tax income from continuing operations(a)

    $ 2,297       $ 2,097       $ 1,770       $ 1,993       $ 2,078   

Fixed charges

      1,057         1,045         892         883         797   

Distributed income of equity investees

      149         111         82         195         147   

Deduct:

               

Interest capitalized(b)

      166         168         102         93         71   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total earnings (as defined for the Fixed Charges calculation)

    $ 3,337       $ 3,085       $ 2,642       $ 2,978       $ 2,951   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Fixed charges:

               

Interest on debt, including capitalized portions(b)

    $ 1,026       $ 1,008       $ 853       $ 834       $ 756   

Estimate of interest within rental expense

      31         37         39         49         41   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Total fixed charges

    $ 1,057       $ 1,045       $ 892       $ 883       $ 797   
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratio of earnings to fixed charges

      3.2         3.0         3.0         3.4         3.7   

 

(a) Excludes amounts attributable to noncontrolling interests and income or loss from equity investees.
(b) Excludes equity costs related to Allowance for Funds Used During Construction that are included in Other Income and Expenses in the Consolidated Statements of Operations.