EX-12 2 ex12.htm COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Unassociated Document
Exhibit 12


CENTERPOINT ENERGY, INC. AND SUBSIDIARIES

COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)

   
     Six Months Ended June 30,
  
   
2009 (1)
    
2010 (1)
  
             
Net Income
   $ 153     $ 195  
Equity in earnings of unconsolidated affiliates, net of distributions        (8 )       6  
Income taxes
     91       147  
Capitalized interest
     (3 )     (3 )
      233       345  
                 
Fixed charges, as defined:
                
                 
Interest
     324       315  
Capitalized interest
     3       3  
Interest component of rentals charged to operating expense
     5       12  
Total fixed charges
     332       330  
                 
Earnings, as defined
   $  565     $  675  
                 
Ratio of earnings to fixed charges
     1.70       2.05  
        
(1)
Excluded from the computation of fixed charges for the six months ended June 30, 2009 and 2010 is interest expense of $9 million and $4 million, respectively, which is included in income tax expense.