EX-12.1 8 a17-22759_2ex12d1.htm EX-12.1

Exhibit 12.1

 

RATIO OF EARNINGS TO FIXED CHARGES

 

The following table sets forth EQT Corporation’s (EQT) consolidated ratio of earnings to fixed charges for the periods indicated.

 

 

 

Six Months
Ended
June 30,

 

Year Ended December 31,

 

 

 

2017

 

2016

 

2015

 

2014

 

2013

 

2012

 

 

 

(in thousands, except ratio data)

 

Earnings

 

 

 

 

 

 

 

 

 

 

 

 

 

Income (loss) before income taxes, noncontrolling interests, discontinued operations and cumulative effect of accounting changes

 

$

503,724

 

$

(394,527

)

$

426,561

 

$

723,711

 

$

521,158

 

$

220,379

 

Minus: equity earnings of nonconsolidated investments

 

(9,388

)

(9,898

)

(2,566

)

(3,385

)

(7,615

)

(6,146

)

Plus: distributions of income of equity investees

 

—

 

—

 

—

 

9,463

 

9,000

 

12,750

 

Plus: fixed charges

 

108,522

 

196,874

 

204,840

 

191,393

 

180,552

 

214,820

 

Minus: capitalized interest and allowance for borrowed funds used during construction

 

(12,090

)

(28,828

)

(42,082

)

(40,775

)

(27,247

)

(19,613

)

Total earnings

 

$

590,768

 

$

(236,379

)

$

586,753

 

$

880,407

 

$

675,848

 

$

422,190

 

Fixed charges

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense

 

$

91,022

 

$

158,800

 

$

150,726

 

$

139,620

 

$

143,720

 

$

186,420

 

Plus: capitalized interest and allowance for borrowed funds used during construction

 

12,090

 

28,828

 

42,082

 

40,775

 

27,247

 

19,613

 

Plus: estimated interest component of rental expense

 

5,410

 

9,246

 

12,032

 

10,998

 

9,585

 

8,787

 

Total fixed charges

 

$

108,522

 

$

196,874

 

$

204,840

 

$

191,393

 

$

180,552

 

$

214,820

 

Ratio of earnings to fixed charges

 

5.44

 

(1

)

2.86

 

4.60

 

3.74

 

1.97

 

 

(1)                                 Earnings for the year ended December 31, 2016 were inadequate to cover fixed charges by $433.3 million.

 

For purposes of calculating the ratios, earnings consist of:

 

·                  income (loss) before income taxes, noncontrolling interests, discontinued operations and cumulative effect of accounting changes;

 

·                  minus equity earnings of nonconsolidated investments;

 

·                  plus distributions of income from equity investees;

 

·                  plus fixed charges; and

 

·                  minus capitalized interest and allowance for borrowed funds used during construction.

 

For purposes of calculating the ratios, fixed charges consist of:

 

·                  interest on debt and amortization of debt expense;

 

·                  plus capitalized interest and allowance for borrowed funds used during construction; and

 

·                  plus the estimated interest component of rental expense.

 

As of the date of this Current Report on Form 8-K, EQT has not issued any shares of preferred stock.