EX-12 8 k67879ex12.txt STATEMENT OF RATIO OF EARNINGS TO FIXED CHARGES EXHIBIT (12) CMS ENERGY CORPORATION Ratio of Earnings to Fixed Charges and Preferred Securities Dividends and Distributions (Millions of Dollars)
Years Ended December 31 - 2001 2000 1999 1998 1997 1996 ------------------------------------------------------- (b) (c) (d) Earnings as defined (a) Consolidated net income $(545) $ 36 $ 277 $ 242 $ 244 $ 224 Discontinued operations 185 (3) 14 12 (1) (1) Income taxes (73) 50 63 100 108 137 Exclude equity basis subsidiaries -- (171) (84) (92) (80) (85) Fixed charges as defined, adjusted to exclude capitalized interest of $38, $48, $41, $29, $13, and $5 million for the years ended December 31, 2001, 2000, 1999, 1998, 1997, and 1996, respectively 751 736 594 393 360 313 ------------------------------------------------------- Earnings as defined $ 318 $ 648 $ 864 $ 655 $ 631 $ 588 ====================================================== Fixed charges as defined (a) Interest on long-term debt $ 573 $ 591 $ 502 $ 318 $ 273 $ 230 Estimated interest portion of lease rental 6 7 8 8 10 Other interest charges 58 38 62 47 49 43 Preferred securities dividends and distributions 152 147 96 77 67 54 ------------------------------------------------------- Fixed charges as defined $ 789 $ 784 $ 668 $ 450 $ 397 $ 337 ====================================================== Ratio of earnings to fixed charges and preferred securities dividends and distributions -- -- 1.29 1.46 1.59 1.74 ======================================================
NOTES: (a) Earnings and fixed charges as defined in instructions for Item 503 of Regulation S-K. (b) For the year ended December 31, 2001, fixed charges exceeded earnings by $471 million. Earnings as defined include $704 million of pretax contract losses, asset revaluations and other charges. The ratio of earnings to fixed charges and preferred securities dividends and distributions would have been 1.30 excluding these amounts. (c) For the year ended December 31, 2000, fixed charges exceeded earnings by $136 million. Earnings as defined include a $329 million pretax impairment loss on the Loy Yang investment. The ratio of earnings to fixed charges and preferred securities dividends and distributions would have been 1.25 excluding this amount. (d) Excludes a cumulative effect of change in accounting after-tax gain of $43 million.