EX-12 6 ex123.htm EXHIBIT 12.3 Exhibit 12.3




EXHIBIT 12.3

PACIFIC ENTERPRISES

COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES

AND PREFERRED STOCK DIVIDENDS

(Dollars in millions)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2006 

 

2007 

 

2008 

 

2009 

 

2010 

Fixed Charges:

 

 

 

 

 

 

 

 

 

 

Interest

 

$ 78

 

$ 78

 

$ 68

 

$ 75

 

$ 72

Interest portion of annual rentals

 

4

 

3

 

2

 

1

 

2

Preferred dividends of subsidiary (1)

 

2

 

2

 

2

 

2

 

2

Total fixed charges

 

84

 

83

 

72

 

78

 

76

Preferred stock dividends (1)

 

6

 

6

 

6

 

6

 

6

Combined fixed charges and preferred stock dividends for purpose of ratio

 

$ 90

 

$ 89

 

$ 78

 

$ 84

 

$ 82

Earnings:

 

 

 

 

 

 

 

 

 

 

Pretax income from continuing operations

 

$ 426

 

$ 408

 

$ 394

 

$ 415

 

$ 465

Total fixed charges (from above)

 

84

 

83

 

72

 

78

 

76

Less: Interest capitalized

 

1

 

1

 

-

 

1

 

1

Less: Preferred dividends of subsidiary (1)

 

1

 

1

 

1

 

2

 

1

Total earnings for purpose of ratio

 

$ 508

 

$ 489

 

$ 465

 

$ 490

 

$ 539

Ratio of earnings to combined fixed charges and preferred stock dividends

 

5.64

 

5.49

 

5.96

 

5.83

 

6.57

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

6.05

 

5.89

 

6.46

 

6.28

 

7.09

 

 

 

 

 

 

 

 

 

 

 

 

(1)

In computing this ratio, “Preferred dividends of subsidiary” and "Preferred stock dividends" represent the before-tax earnings necessary to pay such dividends, computed at the effective tax rates for the applicable periods.