EX-12 4 qmrs3030708ex121.htm EX 12.1 Exhibit 12


Exhibit 12.1


Questar Market Resources, Inc.

Ratio of Earnings to Fixed Charges


 

Year Ended December 31,

 

2007

2006

2005

2004

2003

 

(dollars in millions)

Earnings

 

 

 

 

 

Income before income taxes

$662.1 

$562.7 

$408.3 

$256.5 

$190.2 

Less Company’s share of earnings of

 

 

 

 

 

   equity investees

(8.9)

(7.5)

(7.5)

(5.1)

(5.0)

Plus distributions from equity investees

10.4 

7.1 

10.0 

8.3 

7.0 

Plus minority interest loss

 

 

 

0.3 

 

Less minority interest income

 

 

 

 

(0.2)

Plus interest expense

35.6 

33.9 

30.9 

27.4 

28.2 

Plus interest portion of rental expense

1.5 

1.3 

1.1 

1.1 

1.1 

 

$700.7 

$597.5 

$442.8 

$288.5 

$221.3 

 

 

 

 

 

 

Fixed Charges

 

 

 

 

 

Interest expense

$  35.6 

$  33.9 

$  30.9 

$  27.4 

$  28.2 

Plus interest portion of rental expense

1.5 

1.3 

1.1 

1.1 

1.1 

 

$  37.1 

$  35.2 

$  32.0 

$  28.5 

$  29.3 

 

 

 

 

 

 

Ratio of Earnings to Fixed Charges

18.9 

17.0 

13.8 

10.1 

7.6 


For purposes of this presentation, earnings represent income before income taxes and cumulative effect of accounting change adjusted for fixed charges and earnings and distributions of equity investees. Income before income taxes includes Market Resources’ share of pretax earnings of equity investees. Fixed charges consist of total interest charges (expensed and capitalized), amortization of debt issuance costs, and the interest portion of rental expense estimated at 50%.