Exhibit 12
CENTERPOINT ENERGY RESOURCES CORP. AND SUBSIDIARIES
(An Indirect Wholly Owned Subsidiary of CenterPoint Energy, Inc.)
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)
| Nine Months Ended September 30, | |||||||
| 2011 (1) | 2012 (1) | ||||||
| Net Income | $ | 223 | $ | 33 | |||
| Equity in earnings of unconsolidated affiliates, net of distributions | 3 | (6 | ) | ||||
| Income taxes | 143 | 178 | |||||
| Capitalized interest | (2 | ) | (2 | ) | |||
| 367 | 203 | ||||||
| Fixed charges, as defined: | |||||||
| Interest | 142 | 133 | |||||
| Capitalized interest | 2 | 2 | |||||
| Interest component of rentals charged to operating expense | 11 | 6 | |||||
| Total fixed charges | 155 | 141 | |||||
| Earnings, as defined | $ | 522 | $ | 344 | |||
| Ratio of earnings to fixed charges | 3.37 | 2.44 | |||||
___________
| (1) | Excluded from the computation of fixed charges for the six months ended September 30, 2011 and 2012 is interest expense of less than $1 million and interest income of $3 million, respectively, which is included in income tax expense. |