EX-12.1 2 d355678dex121.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Computation of Ratio of Earnings to Fixed Charges

EXHIBIT 12.1

WESTERN GAS PARTNERS, LP

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

      Year Ended December 31,  
thousands    2011        2010        2009        2008        2007  

Earnings:

                      

Income before income taxes

   $     207,364        $     178,899        $     148,654        $     205,136        $     178,741  

Add:

                      

Fixed charges

     30,573          19,292          10,992          2,965          8,783  

Distributions from equity investees

     15,999          10,973          11,206          14,428          8,349  

Amortization of capitalized interest

     234          50          298          86            

Less:

                      

Equity income

     11,261          7,628          7,923          11,118          10,145  

Net income before taxes attributable to
noncontrolling interests

     14,103          11,005          10,260          7,965            
  

 

 

      

 

 

      

 

 

      

 

 

      

 

 

 

Earnings

   $     228,806        $     190,581        $     152,967        $     203,532        $     185,728  
  

 

 

      

 

 

      

 

 

      

 

 

      

 

 

 

Fixed charges:

                      

Interest expense

   $ 30,345        $ 18,794        $ 9,955        $ 364        $ 4,965  

Interest component of lease expense

     228          498          1,037          2,601          3,818  
  

 

 

      

 

 

      

 

 

      

 

 

      

 

 

 

Fixed charges

   $ 30,573        $ 19,292        $ 10,992        $ 2,965        $ 8,783  
  

 

 

      

 

 

      

 

 

      

 

 

      

 

 

 

Ratio of earnings to fixed charges

     7.5x           9.9x           13.9x           68.6x           21.1x   
  

 

 

      

 

 

      

 

 

      

 

 

      

 

 

 

These ratios were computed by dividing earnings by fixed charges. For this purpose, earnings include pre-tax income before adjustment for income or loss from equity investees, plus fixed charges to the extent they affect current year earnings, amortization of capitalized interest and distributed income of equity investees, then subtracting equity income, noncontrolling interests in pre-tax income from subsidiaries that did not incur fixed charges, and interest capitalized during the year. Fixed charges include interest expensed and capitalized, amortized premiums, discounts and capitalized expenses related to indebtedness, and estimates of interest within rental expenses.