EX-12 6 dex12.htm EXHIBIT 12 Exhibit 12

Exhibit 12

The AES Corporation and Subsidiaries

Statement Re: Calculation of Ratio of Earnings to Fixed Charges

(in millions, unaudited)

 

         2010             2009             2008             2007             2006      

Actual:

           

Computation of earnings:

           

Income from continuing operations before income taxes and equity in earnings of affiliates

    $ 1,044     $ 2,316     $ 2,667     $ 1,414     $ 827  

Fixed charges

      1,795       1,769       2,055       1,922       1,884  

Amortization of capitalized interest

      53       37       34       17       17  

Distributed income of equity investees

      14       68       183       21       19  

Less:

           

Capitalized interest

      (193 )      (187 )      (176 )      (86 )      (50 ) 

Preference security dividend of consolidated subsidiary

      (5 )      (4 )      (4 )      (6 )      (5 ) 

Noncontrolling interests in pretax income of subsidiaries that have not incurred fixed changes(1)

      (4 )     (8 )      —          —          —     
                                        

Earnings

    $ 2,704     $ 3,991     $ 4,759     $ 3,282     $ 2,692  
                                        

Fixed charges:

           

Interest expense, debt premium and discount amortization

    $ 1,565     $ 1,545     $ 1,841     $ 1,788     $ 1,769  

Capitalized interest

      193       187       176       86       50  

Interest expense included in rental expense

      32       33       34       42       60  

Preference security dividend of consolidated subsidiary

      5       4       4       6       5  
                                        

Fixed charges

    $ 1,795     $ 1,769     $ 2,055     $ 1,922     $ 1,884  
                                        

Ratio of earnings to fixed charges

      1.51       2.26       2.32       1.71       1.43  

 

(1)

Amounts for prior periods have been restated to exclude from the computation of earnings only noncontrolling interests in pretax income of those subsidiaries that did not incur fixed charges.