EXHIBIT 12-1
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Thousands of Dollars)
Twelve Months Ended | Twelve Months Ended | Twelve Months Ended | |||||||||||
December 31, 1999 | December 31, 1998 | December 31, 1997 | |||||||||||
EARNINGS AS DEFINED (1) | |||||||||||||
Pre-tax income | $ | 162,389 | $ | 114,619 | $ | 125,630 | |||||||
Fixed charges | 59,340 | 61,304 | 57,905 | ||||||||||
Earnings as defined | $ | 221,729 | $ | 175,923 | $ | 183,535 | |||||||
FIXED CHARGES AS DEFINED (1) | |||||||||||||
Interest on long-term debt | $ | 48,455 | $ | 47,091 | $ | 47,024 | |||||||
Interest on other borrowed funds | 8,626 | 12,113 | 8,664 | ||||||||||
Amortization of debt discounts, premium and expense | 1,144 | 955 | 1,032 | ||||||||||
Interest implicit in rentals (2) | 1,115 | 1,145 | 1,185 | ||||||||||
Fixed charges as defined | $ | 59,340 | $ | 61,304 | $ | 57,905 | |||||||
Ratio of Earnings to Fixed Charges | 3.74 | 2.87 | 3.17 | ||||||||||
Notes: | ||
(1) | Earnings and fixed charges are defined and computed in accordance with Item 503 of Regulation S-K. | |
(2) | This amount is estimated to be a reasonable approximation of the interest portion of rentals. |
MichCon is a guarantor of certain other debt. Fixed charges related to such debt are deemed to be immaterial and therefore have been excluded from the above ratios.