Energy Transfer Operating (ET+E) 10-Q 2014 Q1 Quarterly report

Exhibit 12.1

STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(UNAUDITED)

	Three Months Ended March 31, 2014
	(in millions)
Fixed Charges:
Interest cost and debt expense	$	26
Interest allocable to rental expense (1)	1
Total	$	27
Earnings:
Income before income tax expense (2)	$	115
Income before income tax expense attributable to noncontrolling interests	(4		)
Equity in income of 50 percent or less owned affiliated companies	(4		)
Dividends received from 50 percent or less owned affiliated companies (3)	2
Fixed charges	27
Interest capitalized	(10		)
Amortization of previously capitalized interest	—
Total	$	126
Ratio of Earnings to Fixed Charges	4.7

⁽¹⁾ Represents one-third of the total operating lease rental expense which is that portion deemed to be interest.

⁽²⁾ Represents income before income tax expense for all consolidated entities, including Inland Corporation, Mid-Valley Pipeline Company and West Texas Gulf Pipe Line Company.

⁽³⁾ Represents dividends received from equity-method investments, which excludes dividends from Inland Corporation, Mid-Valley Pipeline Company and West Texas Gulf Pipe Line Company.