EX-12 7 dex12.htm CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES Calculation of Ratio of Earnings to Fixed Charges

Exhibit 12

QWEST COMMUNICATIONS INTERNATIONAL INC.

CALCULATION OF RATIO OF EARNINGS TO FIXED CHARGES

(UNAUDITED)

 

     Nine
Months
Ended
September 30,

2008
    Years Ended December 31,  
       2007     2006     2005     2004     2003  

Income (loss) from continuing operations before income taxes, discontinued operations and cumulative effect of changes in accounting principles

   $ 796     $ 664     $ 557     $ (760 )   $ (1,706 )   $ (1,832 )

Add: estimated fixed charges

     848       1,209       1,287       1,648       1,678       1,936  

Add: estimated amortization of capitalized interest

     10       12       12       14       13       14  

Less: interest capitalized

     (16 )     (16 )     (14 )     (13 )     (12 )     (19 )
                                                

Total earnings available for fixed charges

   $ 1,638     $ 1,869     $ 1,842     $ 889     $ (27 )   $ 99  
                                                

Estimate of interest factor on rentals

   $ 62     $ 98     $ 104     $ 152     $ 135     $ 160  

Interest expense, including amortization of premiums, discounts and debt issuance costs(1)

     770       1,095       1,169       1,483       1,531       1,757  

Interest capitalized

     16       16       14       13       12       19  
                                                

Total fixed charges

   $ 848     $ 1,209     $ 1,287     $ 1,648     $ 1,678     $ 1,936  
                                                

Ratio of earnings to fixed charges

     1.9       1.5       1.4       nm       nm       nm  

Additional pre-tax income needed for earnings to cover total fixed charges

   $ —       $ —       $ —       $ 759     $ 1,705     $ 1,837  
                                                

 

nm Negative ratios or ratios less than 1.0 are considered not meaningful.

 

(1) Interest expense includes only interest related to long-term borrowings and capital lease obligations.