Energy Transfer Operating (ET+E) 10-Q 2016 Q1 Quarterly report

Exhibit 12.1

STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(UNAUDITED)

	Three Months Ended March 31, 2016
	(in millions)
Fixed Charges:
Interest cost and debt expense	$	65
Interest allocable to rental expense (1)	1
Total	$	66
Earnings:
Income before income tax expense (2)	$	151
Income before income tax expense attributable to noncontrolling interests	(1		)
Equity in income of 50 percent or less owned affiliated companies	(8		)
Dividends received from 50 percent or less owned affiliated companies (3)	5
Fixed charges	66
Interest capitalized	(26		)
Amortization of previously capitalized interest	1
Total	$	188
Ratio of Earnings to Fixed Charges	2.8

⁽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.

⁽³⁾  Represents dividends received from equity-method investments.