EX-12.1 2 cpn_exhibit121x12312014.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES CPN_Exhibit 12.1_12.31.2014


EXHIBIT 12.1

CALPINE CORPORATION
Computation of Ratio of Earnings to Fixed Charges

(Dollars in millions)

 
 
Years Ended December 31,
 
 
2014
 
2013
 
2012
 
2011
 
2010
Earnings
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes
 
$
983

 
$
20

 
$
218

 
$
(211
)
 
$
(230
)
Less:
 
 
 
 
 
 
 
 
 
 
Income from unconsolidated investments in power plants
 
(25
)
 
(30
)
 
(28
)
 
(21
)
 
(16
)
Interest capitalized
 
(19
)
 
(38
)
 
(38
)
 
(24
)
 
(15
)
Preferred securities dividend requirements of subsidiaries
 
—

 
(1
)
 
(1
)
 
(2
)
 
(3
)
Add:
 
 
 
 
 
 
 
 
 
 
Fixed charges
 
678

 
749

 
791

 
807

 
858

Amortization of capitalized interest
 
29

 
30

 
30

 
31

 
31

Distributions from equity method investments
 
13

 
27

 
29

 
6

 
11

Total Earnings:
 
$
1,659

 
$
757

 
$
1,001

 
$
586

 
$
636

Fixed Charges:
 
 
 
 
 
 
 
 
 
 
Interest expense
 
$
645

 
$
696

 
$
736

 
$
760

 
$
813

Interest capitalized
 
19

 
38

 
38

 
24

 
15

Approximation of interest in rental expense
 
14

 
15

 
17

 
23

 
30

Total Fixed Charges:
 
$
678

 
$
749

 
$
791

 
$
807

 
$
858

Ratio of Earnings to Fixed Charges(1):
 
2.45

 
1.01

 
1.27

 
0.73

 
0.74

___________
(1)
The coverage ratio is less than one-to-one for the years ended December 31, 2011 and 2010; thus, additional earnings of $221 million and $222 million, respectively, would have needed to be generated to cover the shortfall.