Exhibit 12.01
NUSTAR ENERGY L.P.
STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Thousands of Dollars, Except Ratio)
Years Ended December 31, | |||||||||||||||||||
2013 | 2012 (a) | 2011 (a) | 2010 (a) | 2009 (a) | |||||||||||||||
Earnings: | |||||||||||||||||||
(Loss) income from continuing operations before provision for income taxes and income from equity investees | $ | (132,786 | ) | $ | (132,173 | ) | $ | 225,771 | $ | 244,917 | $ | 230,276 | |||||||
Add: | |||||||||||||||||||
Fixed charges | 149,090 | 122,286 | 109,825 | 102,642 | 102,557 | ||||||||||||||
Amortization of capitalized interest | 1,216 | 1,012 | 793 | 642 | 553 | ||||||||||||||
Distributions from joint ventures | 7,956 | 6,364 | 14,374 | 9,625 | 9,700 | ||||||||||||||
Less: Interest capitalized | (4,501 | ) | (7,737 | ) | (5,388 | ) | (3,701 | ) | (1,650 | ) | |||||||||
Total earnings | $ | 20,975 | $ | (10,248 | ) | $ | 345,375 | $ | 354,125 | $ | 341,436 | ||||||||
Fixed charges: | |||||||||||||||||||
Interest expense, net | $ | 127,119 | $ | 90,535 | $ | 81,539 | $ | 77,764 | $ | 79,312 | |||||||||
Interest capitalized | 4,501 | 7,737 | 5,388 | 3,701 | 1,650 | ||||||||||||||
Rental expense interest factor (b) | 17,470 | 24,014 | 22,898 | 21,177 | 21,595 | ||||||||||||||
Total fixed charges | $ | 149,090 | $ | 122,286 | $ | 109,825 | $ | 102,642 | $ | 102,557 | |||||||||
Ratio of earnings to fixed charges | (c) | (d) | 3.1x | 3.5x | 3.3x |
(a) | Prior year amounts have been adjusted for discontinued operations. |
(b) | The interest portion of rental expense represents one-third of rents, which is deemed representative of the interest portion of rental expense. |
(c) | For the year ended December 31, 2013, earnings were insufficient to cover fixed charges by $128.1 million. The deficiency included a goodwill impairment loss of $304.5 million related to the Statia terminals reporting unit. |
(d) | For the year ended December 31, 2012, earnings were insufficient to cover fixed charges by $132.5 million. The deficiency included the effect of $271.8 million of impairment losses mainly resulting from the write-down of the carrying value of our long-lived assets related to our asphalt operations, including fixed assets, goodwill, intangible assets and other long-term assets. |