Exhibit 12 | ||||||||||||||||||||||||||||
ONEOK, Inc. | ||||||||||||||||||||||||||||
Computation of Ratio of Earnings to Fixed Charges | ||||||||||||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||||||||||||
(Unaudited) | 2012 | 2011 | 2010 | 2009 | 2008 | |||||||||||||||||||||||
(Thousands of dollars) | ||||||||||||||||||||||||||||
Fixed Charges, as defined | ||||||||||||||||||||||||||||
Interest on long-term debt | $ | 326,206 | $ | 305,523 | $ | 287,910 | $ | 292,768 | $ | 254,765 | ||||||||||||||||||
Other interest | 12,045 | 8,374 | 4,594 | 20,411 | 44,858 | |||||||||||||||||||||||
Amortization of debt discount, premium and expense | 5,830 | 7,070 | 4,623 | 4,597 | 4,421 | |||||||||||||||||||||||
Interest on lease agreements | 539 | 1,515 | 19,289 | 20,221 | 29,524 | |||||||||||||||||||||||
Total Fixed Charges | 344,620 | 322,482 | 316,416 | 337,997 | 333,568 | |||||||||||||||||||||||
Earnings before income taxes and undistributed income of equity method investees | 909,650 | 970,746 | 745,354 | 718,656 | 771,239 | |||||||||||||||||||||||
Earnings available for fixed charges | $ | 1,254,270 | $ | 1,293,228 | $ | 1,061,770 | $ | 1,056,653 | $ | 1,104,807 | ||||||||||||||||||
Ratio of earnings to fixed charges | 3.64 | 4.01 | x | 3.36 | x | 3.13 | x | 3.31 | x | |||||||||||||||||||
For purposes of computing the ratio of earnings to fixed charges, "earnings" consists of pre-tax income from continuing operations before adjustment for income or loss from equity investees plus fixed charges and distributed income of equity investees, less interest capitalized. "Fixed charges" consists of interest charges, the amortization of debt discounts and issue costs and the representative interest portion of operating leases. | ||||||||||||||||||||||||||||
Year Ended | |||||
(Unaudited) | December 31, 2012 | ||||
(Thousands of dollars) | |||||
Fixed charges, as defined | |||||
(a) Interest on long-term debt | $ | 284,430 | |||
Interest costs capitalized | 41,776 | ||||
Total interest on long-term debt | 326,206 | ||||
Other interest | 12,045 | ||||
(b) Amortized premiums, discounts and capitalized expenses | 5,830 | ||||
(c) Estimated interest within rental expense | 539 | ||||
(d) Preference security dividend requirements of consolidated subsidiaries (N/A) | — | ||||
Total fixed charges | 344,620 | ||||
Earnings, as defined | |||||
Add: | |||||
(a) Pre-tax income from continuing operations | 944,446 | ||||
Less: equity earnings from investments | 123,024 | ||||
Pre-tax income from continuing operations before equity earnings from investments | 821,422 | ||||
(b) Fixed charges | 344,620 | ||||
(c) Amortization of capitalized interest non regulated entities | 1,063 | ||||
(d) Distributed income of equity investments | 120,442 | ||||
(e) Share of pre-tax losses of equity investments for which charges arising from guarantees | |||||
included in fixed charges (N/A) | — | ||||
Less: | |||||
(a) Interest capitalized | 41,776 | ||||
Add: interest costs capitalized for regulated entities | 8,499 | ||||
(b) Preference security dividend requirements of consolidated subsidiaries (N/A) | — | ||||
(c) Noncontrolling interest in pre-tax income of subsidiaries that have not incurred | |||||
fixed charges (N/M) | — | ||||
Total earnings | $ | 1,254,270 | |||
Ratio of earnings to fixed charges | 3.64 | ||||
909,650 | |||||