10-K

EXHIBIT 12

CHESAPEAKE ENERGY CORPORATION AND SUBSIDIARIES

RATIOS OF EARNINGS TO FIXED CHARGES AND COMBINED FIXED CHARGES

AND PREFERRED DIVIDENDS

	Years Ended December 31,
		2011			2012			2013		2014		2015
EARNINGS:
Income (loss) before income taxes and cumulative effect of accounting change		$	2,880		$	(974	)	$	1,442	$	3,200	$	(19,098	)
Interest expense(a)		94			142			207		172		322
(Gain)/loss on investment in equity investees in excess of distributed earnings		(154		)	108			219		75		96
Amortization of capitalized interest		297			402			440		438		483
Loan cost amortization		28			43			37		32		31
Earnings		$	3,145		$	(279	)	$	2,345	$	3,917	$	(18,166	)
FIXED CHARGES:
Interest Expense		$	94		$	142		$	207	$	172	$	322
Capitalized interest		727			976			815		604		410
Loan cost amortization		28			43			37		32		31
Fixed Charges		$	849		$	1,161		$	1,059	$	808	$	763
PREFERRED STOCK DIVIDENDS:
Preferred dividend requirements		$	172		$	171		$	171	$	171	$	171
Ratio of income (loss) before provision for taxes to net income (loss)(b)		1.65			1.64			1.61		1.56		1.30
Preferred Dividends		$	284		$	280		$	275	$	266	$	222
COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS		$	1,131		$	1,441		$	1,334	$	1,074	$	985
RATIO OF EARNINGS TO FIXED CHARGES		3.7			(0.2		)	2.2		4.8		(23.8		)
INSUFFICIENT COVERAGE		$	—		$	1,440		$	—	$	—	$	18,929
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDENDS		2.8			(0.2		)	1.8		3.6		(18.4		)
INSUFFICIENT COVERAGE		$	—		$	1,720		$	—	$	—	$	19,151

(a) Excludes the effect of unrealized gains or losses on interest rate derivatives and includes amortization of bond discount.

(b) Amounts of income (loss) before provision for taxes and of net income (loss) exclude the cumulative effect of accounting change.