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,
  
   
2010 (1)
    
2011 (1)
  
             
Net Income
   $ 195     $ 267  
Equity in earnings of unconsolidated affiliates, net of distributions
     6       1  
Income taxes
     147       158  
Capitalized interest
     (3 )     (3 )
      345       423  
                 
Fixed charges, as defined:
                
                 
Interest
     315       292  
Capitalized interest
     3       3  
Interest component of rentals charged to operating expense
     12       8  
Total fixed charges
     330       303  
                 
Earnings, as defined
   $ 675     $ 726  
                 
Ratio of earnings to fixed charges
     2.05       2.40  
            
 
(1)
Excluded from the computation of fixed charges for both the six months ended June 30, 2010 and 2011 is interest expense of $4 million, which is included in income tax expense.