Energy Transfer Operating (ET+E) 10-Q 2013 Q1 Quarterly report

Exhibit 12.1

STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(UNAUDITED)

	Successor
	Three Months Ended March 31, 2013
	(in millions)
Fixed Charges:
Interest cost and debt expense	$	24
Interest allocable to rental expense(1)		1
Total	$	25
Earnings:
Income before income tax expense(2)	$	148
Income before income tax expense attributable to noncontrolling interests		(3	)
Equity in income of 50 percent or less owned affiliated companies		(3	)
Dividends received from 50 percent or less owned affiliated companies(3)		3
Fixed charges		25
Interest capitalized		(5	)
Amortization of previously capitalized interest		—
Total	$	165
Ratio of Earnings to Fixed Charges		6.6

⁽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.