Exhibit 12.01
NRG Energy, Inc.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
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| For the Nine |
| For the Year Ended December 31, |
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| 2011(a) |
| 2010 |
| 2009 |
| 2008 |
| 2007 |
| 2006 |
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| (In millions except ratio) |
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Earnings: |
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(Loss)/Income from continuing operations before income tax |
| $ | (509 | ) | $ | 753 |
| $ | 1,669 |
| $ | 1,766 |
| $ | 933 |
| $ | 861 |
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Net loss attributable to noncontrolling interest |
| — |
| (1 | ) | (1 | ) | — |
| — |
| — |
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Less: |
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Distributions and equity in earnings of unconsolidated affiliates |
| 8 |
| (19 | ) | (41 | ) | (44 | ) | (33 | ) | (33 | ) | ||||||
Impairment charge on equity method investments |
| 495 |
| — |
| — |
| — |
| — |
| — |
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Capitalized interest |
| (53 | ) | (36 | ) | (37 | ) | (45 | ) | (11 | ) | (5 | ) | ||||||
Add: |
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Fixed charges |
| 740 |
| 678 |
| 703 |
| 634 |
| 715 |
| 603 |
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Amortization of capitalized interest |
| 5 |
| 4 |
| 3 |
| 1 |
| — |
| — |
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Total Earnings: |
| $ | 686 |
| $ | 1,379 |
| $ | 2,296 |
| $ | 2,312 |
| $ | 1,604 |
| $ | 1,426 |
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Fixed Charges: |
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Interest expense |
| $ | 654 |
| $ | 600 |
| $ | 610 |
| $ | 546 |
| $ | 657 |
| $ | 562 |
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Interest capitalized |
| 53 |
| 36 |
| 37 |
| 45 |
| 11 |
| 5 |
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Amortization of debt issuance costs |
| 20 |
| 25 |
| 31 |
| 22 |
| 26 |
| 22 |
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Amortization of debt discount |
| 5 |
| 7 |
| 13 |
| 15 |
| 19 |
| 10 |
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Approximation of interest in rental expense |
| 8 |
| 10 |
| 12 |
| 6 |
| 2 |
| 4 |
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Total Fixed Charges: |
| $ | 740 |
| $ | 678 |
| $ | 703 |
| $ | 634 |
| $ | 715 |
| $ | 603 |
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Ratio of Earnings to Combined Fixed Charges |
| 0.93 |
| 2.03 |
| 3.27 |
| 3.65 |
| 2.24 |
| 2.36 |
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(a) The ratio coverage for the nine months ended September 30, 2011 was less than 1:1. NRG would have needed to generate additional earnings of $54 million to achieve a ratio coverage of 1:1.