EX-12 4 exhibit_12.htm ANADARKO FORM 10-Q FIRST QTR 2004 - EXHIBIT 12 Exhibit 12

Exhibit 12

 

ANADARKO PETROLEUM CORPORATION
CONSOLIDATED STATEMENT OF COMPUTATION OF RATIOS OF
EARNINGS TO FIXED CHARGES AND EARNINGS TO
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

Quarter Ended March 31, 2004 and Five Years Ended December 31, 2003

Quarter

Ended

March 31,

Years Ended December 31

millions except ratio amounts

2004

2003

2002

2001

2000

1999

Gross Income (Loss)

$

668

  

$

2,227

  

$

1,410

  

$

(298

)

$

1,519

  

$

179

  

Rentals

  

3

    

10

    

14

    

14

    

16

    

11

  

Earnings (Loss)

  

671

    

2,237

    

1,424

    

(284

)

  

1,535

    

190

  

                                     

Gross Interest Expense

  

88

    

374

    

358

    

301

    

193

    

96

  

Rentals

  

3

    

10

    

14

    

14

    

16

    

11

  

Fixed Charges

$

91

  

$

384

  

$

372

  

$

315

  

$

209

  

$

107

  

                                     

Preferred Stock

                                   

 Dividends

  

2

    

8

    

9

    

11

    

17

    

17

  

                                     

Combined Fixed Charges

                                   

 and Preferred Stock

                                   

 Dividends

$

93

  

$

392

  

$

381

  

$

326

  

$

226

  

$

124

  

                                     

Ratio of Earnings to

                                   

 Fixed Charges

  

7.37

    

5.83

    

3.83

    

n/m

    

7.35

    

1.77

  

                                   

Ratio of Earnings to

                                    

 Combined Fixed Charges

                                   

 and Preferred Stock

                                   

 Dividends

    

7.22

    

5.71

    

3.74

    

n/m

    

6.80

    

1.53

  

n/m - not meaningful

                                    

As a result of the Company's net loss in 2001, Anadarko's earnings did not cover fixed charges by $599 million and did not cover combined fixed charges and preferred stock dividends by $610 million.

These ratios were computed by dividing earnings by either fixed charges or combined fixed charges and preferred stock dividends. For this purpose, earnings include income before income taxes and fixed charges. Fixed charges include interest and amortization of debt expenses and the estimated interest component of rentals. Preferred stock dividends are adjusted to reflect the amount of pretax earnings required for payment.