EX-12.3 5 duk-20151231x10kxexx123.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - PROGRESS ENERGY, INC. Exhibit
EXHIBIT 12.3


COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - PROGRESS ENERGY
The ratio of earnings to fixed charges is calculated using the Securities and Exchange Commission guidelines.
 
Years Ended December 31,
(in millions)
2015
 
2014
 
2013
 
2012
 
2011
Earnings as defined for fixed charges calculation
 
 
 
 
 
 
 
 
 
 
Add:
 
 
 
 
 
 
 
 
 
 
Pretax income from continuing operations(a)
 
$
1,579

 
$
1,418

 
$
1,029

 
$
527

 
$
910

Fixed charges
 
838

 
841

 
872

 
884

 
827

Deduct:
 
 
 
 
 
 
 
 
 
 
Pretax income attributable to noncontrolling interests of subsidiaries that have not incurred fixed charges
 
—

 
—

 
—

 
2

 
3

Preference security dividend requirements of consolidated subsidiaries
 
—

 
—

 
—

 
6

 
6

Total earnings
 
$
2,417


$
2,259


$
1,901


$
1,403


$
1,728

 
 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
 
Interest on debt, including capitalized portions
 
$
738

 
$
732

 
$
772

 
$
782

 
$
769

Estimate of interest within rental expense
 
100

 
109

 
100

 
96

 
52

Preference security dividend requirements of consolidated subsidiaries
 
—

 
—

 
—

 
6

 
6

Total fixed charges
 
$
838

 
$
841

 
$
872

 
$
884

 
$
827

Ratio of earnings to fixed charges
 
2.9


2.7


2.2


1.6


2.1

Ratio of earnings to fixed charges and preferred dividends combined(b)
 
2.9

 
2.7

 
2.2

 
1.6

 
2.1

(a)
Excludes amounts attributable to noncontrolling interests and income or loss from equity investees.
(b)    For all periods presented, Progress Energy, Inc. had no preferred stock outstanding.