EX-10 12 nscex12.htm

Exhibit 12




Norfolk Southern Corporation and Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
       
   
Year ended December 31,
 
   
2013
 
2012
 
2011
 
2010
 
2009 
 
       
($ in millions)
     
                       
EARNINGS                      
Income from continuing operations before income
  taxes as reported

$

2,965 
$
2,758 
$
2,918 
$
2,367 
$
1,622
 
                       
Add (subtract):                      
    Total interest expenses (as detailed below)  
576 
 
546 
 
504 
 
517 
 
499 
 
    Amortization of capitalized interest  
12 
 
10 
 
 
 
 
    Income of partially owned entities(1)  
(51)
 
(45)
 
(39)
 
(43)
 
(36)
 
Total earnings
$
3,502 
$
3,269 
$
3,392 
$
2,849 
$
2,092 
 
                       
FIXED CHARGES                      
Interest expense on debt
$
525 
$
495 
$
455 
$
462 
$
467 
 
Interest expense on unrecognized tax benefit  
 
(1)
 
(9)
 
 
(6) 
 
Other interest expense  
11 
 
10 
 
12 
 
16 
 
 
Calculated interest portion of rent expense(2)  
39 
 
42 
 
46 
 
38 
 
37 
 
Total interest expenses  
576 
 
546 
 
504 
 
517 
 
499 
 
                       
Capitalized interest  
18 
 
20 
 
19 
 
15 
 
17 
 
Total fixed charges
$
594 
$
566 
$
523 
$
532 
$
516 
 
                       
RATIO OF EARNINGS TO FIXED CHARGES  
5.90 
 
5.78 
 
6.49 
 
5.36
 
4.05 
 
                       
    (1) Represents undistributed income of equity investees included in income from continuing operations before
          income taxes as reported.
    (2) Interest component of leases includes one-third of rental expense which approximates the interest component
          of operating leases.