Exhibit 12.1
Holly Energy Partners, L.P.
Computation of Ratio of Earnings
To Fixed Charges
(In thousands)
Computation of Ratio of Earnings
To Fixed Charges
(In thousands)
Nine Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
September 30, | Years Ended December 31, | |||||||||||||||||||||||
2009 | 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Net income | $ | 39,561 | $ | 26,645 | $ | 40,338 | $ | 28,223 | $ | 27,556 | $ | 34,488 | ||||||||||||
Add total fixed charges (per below) | 18,703 | 24,751 | 15,125 | 14,815 | 11,324 | 2,279 | ||||||||||||||||||
Total earnings | $ | 58,264 | $ | 51,396 | $ | 55,463 | $ | 43,038 | $ | 38,880 | $ | 36,767 | ||||||||||||
Fixed charges: | ||||||||||||||||||||||||
Interest expense | $ | 16,225 | $ | 21,763 | $ | 13,289 | $ | 13,056 | $ | 9,633 | $ | 697 | ||||||||||||
Capitalized interest | 871 | 1,007 | — | — | — | — | ||||||||||||||||||
Estimate of interest within rental expense(1) | 1,607 | 1,981 | 1,836 | 1,759 | 1,691 | 1,582 | ||||||||||||||||||
Total fixed charges | $ | 18,703 | $ | 24,751 | $ | 15,125 | $ | 14,815 | $ | 11,324 | $ | 2,279 | ||||||||||||
Ratio of earnings to fixed charges | 3.12 | 2.08 | 3.67 | 2.91 | 3.43 | 16.13 | ||||||||||||||||||
(1) | Represents 30% of the total operating lease rental expense which is that portion deemed to be interest. |