EX-12 2 qpc10k4q2008ex12.htm EXHIBIT 12. Exhibit 12



Exhibit 12.


Questar Pipeline Company

Ratio of Earnings to Fixed Charges


 

Year Ended December 31,

 

2008

2007

2006

 

(dollars in millions)

Earnings

 

 

 

Income before income taxes

$  91.4 

$  71.7 

$72.7 

Plus interest expense

32.7 

21.7 

23.8 

Plus allowance for borrowed funds used

 

 

 

  during construction

0.4 

7.3 

0.4 

Less Company’s share of earnings of equity investee

(0.6)

 

 

Plus interest portion of rental expense

1.7 

1.2 

0.8 

 

$125.6 

$101.9 

$97.7 

 

 

 

 

Fixed Charges

 

 

 

Interest expense

$  32.7 

$ 21.7 

$23.8 

Plus allowance for borrowed funds used

 

 

 

  during construction

0.4 

7.3 

0.4 

Plus interest portion of rental expense

1.7 

1.2 

0.8 

 

$ 34.8 

$30.2 

$25.0 

 

 

 

 

Ratio of Earnings to Fixed Charges

3.6 

3.4 

3.9 


For purposes of this presentation, earnings represent income before income taxes adjusted for fixed charges, earnings and distributions of an equity investee. Income before income taxes includes Questar Pipeline’s share of pretax earnings of an equity investee. Fixed charges consist of total interest charges (expensed and capitalized), amortization of debt issuance costs and losses from reacquired debt, and the interest portion of rental expense estimated at 50%.