Exhibit 12.1
ENERGY TRANSFER EQUITY, L.P.
Computation of Ratio of Earnings to Fixed Charges
(in millions, except for ratio amounts)
(Unaudited)
Years Ended December 31, | ||||||||||||||||||||
2016 | 2015 | 2014 | 2013 | 2012 | ||||||||||||||||
Fixed charges: | ||||||||||||||||||||
Interest expense | $ | 1,832 | $ | 1,643 | $ | 1,369 | $ | 1,221 | $ | 1,018 | ||||||||||
Capitalized interest | 202 | 163 | 113 | 45 | 101 | |||||||||||||||
Interest expense included in rental expense | 21 | 24 | 17 | 16 | 6 | |||||||||||||||
Distribution to the Series A Convertible Redeemable Preferred Units | — | 3 | 3 | 6 | — | |||||||||||||||
Accretion of the Series A Convertible Redeemable Preferred Units | — | — | — | — | 1 | |||||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total fixed charges | 2,055 | 1,833 | 1,502 | 1,288 | 1,126 | |||||||||||||||
Earnings: | ||||||||||||||||||||
Income from continuing operations before income taxes | (176 | ) | 993 | 1,417 | 375 | 1,437 | ||||||||||||||
Less: equity in earnings of affiliates | (39 | ) | 276 | 332 | 236 | 212 | ||||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Total earnings | (137 | ) | 717 | 1,085 | 139 | 1,225 | ||||||||||||||
Add: | ||||||||||||||||||||
Fixed charges | 2,055 | 1,833 | 1,502 | 1,288 | 1,126 | |||||||||||||||
Amortization of capitalized interest | 17 | 11 | 8 | 7 | 5 | |||||||||||||||
Distributed income of equity investees | 268 | 409 | 291 | 236 | 208 | |||||||||||||||
Less: | ||||||||||||||||||||
Interest capitalized | (202 | ) | (163 | ) | (113 | ) | (45 | ) | (101 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Income available for fixed charges | $ | 2,001 | $ | 2,807 | $ | 2,773 | $ | 1,625 | $ | 2,463 | ||||||||||
Ratio of earnings to fixed charges (1) | — | 1.53 | 1.85 | 1.26 | 2.19 | |||||||||||||||
(1) Earnings were insufficient to cover fixed charges by: | $ | 54 | $ | — | $ | — | $ | — | $ | — |