EX-12 7 compofratio.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES compofratio.htm
MDU RESOURCES GROUP, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

 
                                             Years Ended December 31,  
 
2007
2006
2005
2004
2003
 
(In thousands of dollars)
           
Earnings Available for
Fixed Charges:
          
           
Net Income (a)
$308,288
$303,396
$250,905
$179,004
$159,627
           
Income Taxes (b)
 190,024
 166,110
 146,249
 92,283
 92,743
           
 
 498,312
 469,506
 397,154
 271,287
 252,370
           
Rents (c)
 11,947
 7,688
 11,109
 10,000
 8,929
           
Interest (d)
 76,248
 74,531
 56,440
 58,814
 54,055
           
 Total Earnings Available for Fixed
Charges
$586,507
$551,725
$464,703
$340,101
$315,354
           
Preferred Dividend
Requirements
$ 685
$ 685
$ 685
$ 685
$ 718
           
Ratio of Income
Before Income
Taxes to Net
Income
 159%
 154%
 155%
 146%
 156%
           
Preferred Dividend
Factor on Pretax
Basis
 1,089
 1,055
 1,062
 1,000
 1,120
           
Fixed Charges (e)
 90,545
 84,898
 68,934
 70,215
 67,242
           
Combined Fixed
Charges and
Preferred Stock
Dividends
$91,634
$85,953
$69,996
$71,215
$68,362
           
Ratio of Earnings
to Fixed Charges
 6.5x
 6.5x
 6.7x
 4.8x
 4.7x
           
Ratio of Earnings
Fixed Charges
and Preferred
Stock Dividends
 6.4x
 6.4x
 6.6x
 4.8x
 4.6x
(a)  
Net income excludes undistributed income for equity investees.
   
(b)  
Includes income tax benefits of $4,821 associated with the cumulative effect of accounting change for the twelve months ended December 31, 2003.
 
(c)  
 
Represents interest portion of rents estimated at 33 1/3%.

(d)  
Represents interest, amortization of debt discount and expense on all indebtedness and amortization of interest capitalized, and excludes amortization of gains or losses on reacquired debt (which, under the Federal Energy Regulatory Commission Uniform System of Accounts, is classified as a reduction of, or increase in, interest expense in the Consolidated Statements of Income) and interest capitalized.

(e)  
Represents rents (as defined above), interest, amortization of debt discount and expense on all indebtedness, and excludes amortization of gains or losses on reacquired debt (which, under the Federal Energy Regulatory Commission Uniform System of Accounts, is classified as a reduction of, or increase in, interest expense in the Consolidated Statements of Income).