EX-12.1 3 exh12-1_123109.htm EXHIBIT 12.1 exh12-1_123109.htm
 
Exhibit 12.1
PNM RESOURCES, INC. AND SUBSIDIARIES
  
Ratio of Earnings to Fixed Charges
  
(In thousands, except ratio)
  
                               
                               
   
Year Ended December 31,
  
   
2009
    
2008
    
2007
    
2006
    
2005
  
Fixed charges, as defined by the Securities and Exchange
                              
Commission:
                              
                               
Interest on long-term debt (including interest capitalized)
   $ 113,574     $ 98,455     $ 85,757     $ 87,755     $ 67,463  
Amortization of debt premium, discount and expenses
     5,430       6,386       6,566       4,729       3,962  
Other interest (including interest capitalized)
     10,259       36,503       38,542       48,064       15,939  
Interest from discontinued operations (including capitalized interest)
     1,027       13,758       12,546       11,790       10,658  
Estimated interest factor of lease rental charges
     7,034       7,894       8,804       7,124       7,568  
Preferred dividend requirements of subsidiary
     759       689       556       798       4,063  
     Total Fixed Charges
   $ 138,083     $ 163,685     $ 152,771     $ 160,260     $ 109,653  
                                         
                                         
                                         
Earnings, as defined by the Securities and Exchange
                                        
Commission:
                                        
                                         
Earnings from continuing operations before income taxes and non-controlling interest
   $ 94,751     $ (388,381 )   $ 63,112     $ 164,018     $ 76,502  
(Earnings) loss of equity investee
     30,145       29,687       (7,581 )     -       -  
Earnings from continuing operations before income taxes, non-controlling interest,  and investee earnings
     124,896       (358,694 )     55,531       164,018       76,502  
Fixed charges as above
     138,083       163,685       152,771       160,260       109,653  
Interest capitalized
     (7,743 )     (8,849 )      (10,740 )     (6,503 )     (4,025 )
Non-controlling interest in earnings of Valencia
     (11,890 )     (7,179 )      -       -       -  
Preferred dividend requirements of subsidiary
     (759 )     (689 )      (556 )     (798 )     (4,063 )
                                         
Earnings Available for Fixed Charges
   $ 242,587     $ (211,726 )    $ 197,006     $ 316,977     $ 178,067  
                                         
Ratio of Earnings to Fixed Charges
     1.76       N/M   *   1.29       1.98       1.62  
                                         
 
  
 
                                        
* The ratio of earnings to fixed charges for the year ended December 31, 2008 is not meaningful since earnings available for fixed charges is negative. The shortfall in the earnings available for fixed charges to achieve a ratio of earnings to fixed charges of 1.00 amounted to $375.4 million for the year ended December 31, 2008.