Exhibit 12.1
CF INDUSTRIES HOLDINGS, INC.
RATIO OF EARNINGS TO FIXED CHARGES
| | Three months ended | | | | | | | | | | | |
| | March 31, | | Year ended December 31, | |
(Dollars in millions) | | 2013 | | 2012 | | 2011 | | 2010 | | 2009 | | 2008 | |
| | | | | | | | | | | | | |
Earnings before income taxes and equity in earnings of non-operating affiliates | | $ | 536.1 | | $ | 2,829.5 | | $ | 2,645.6 | | $ | 687.7 | | $ | 695.6 | | $ | 1,175.4 | |
Less: equity in earnings of operating affiliates | | (11.6 | ) | (47.0 | ) | (50.2 | ) | (10.6 | ) | — | | — | |
| | | | | | | | | | | | | |
Earnings from continuing operations before equity in earnings of operating affiliates | | $ | 524.5 | | $ | 2,782.5 | | $ | 2,595.4 | | $ | 677.1 | | $ | 695.6 | | $ | 1,175.4 | |
| | | | | | | | | | | | | |
Plus: | | | | | | | | | | | | | |
Fixed charges | | 62.9 | | 232.3 | | 229.7 | | 260.3 | | 6.7 | | 6.9 | |
Distributed income of equity investees | | 13.0 | | 109.8 | | 130.2 | | 2.2 | | — | | — | |
Amortization of capitalized interest | | 1.0 | | 4.1 | | 3.9 | | 3.8 | | 3.3 | | 3.6 | |
Less: preference security dividends of Terra Nitrogen Company, L.P. | | (16.7 | ) | (77.8 | ) | (64.1 | ) | (23.1 | ) | — | | — | |
Capitalized interest | | (4.6 | ) | (9.3 | ) | (7.9 | ) | (7.6 | ) | — | | — | |
| | | | | | | | | | | | | |
Earnings for fixed charge coverage ratio calculation | | $ | 580.1 | | $ | 3,041.6 | | $ | 2,887.2 | | $ | 912.7 | | $ | 705.6 | | $ | 1,185.9 | |
| | | | | | | | | | | | | |
Fixed charges | | | | | | | | | | | | | |
Interest expensed (a) | | $ | 39.1 | | $ | 135.3 | | $ | 147.2 | | $ | 221.3 | | $ | 1.5 | | $ | 1.6 | |
Capitalized interest | | 4.6 | | 9.3 | | 7.9 | | 7.6 | | — | | — | |
Estimated interest in rent expense (b) | | 2.5 | | 9.9 | | 10.5 | | 8.3 | | 5.2 | | 5.3 | |
Preference security dividends of Terra Nitrogen Company, L.P. | | 16.7 | | 77.8 | | 64.1 | | 23.1 | | — | | — | |
| | $ | 62.9 | | $ | 232.3 | | $ | 229.7 | | $ | 260.3 | | $ | 6.7 | | $ | 6.9 | |
| | | | | | | | | | | | | |
Ratio of earnings to fixed charges | | 9.2x | | 13.1x | | 12.6x | | 3.5x | | 105.3x | | 171.9x | |
(a) Including amortized premiums, discounts, and capitalized expenses related to indebtedness.
(b) Assumes that the interest component is 11% of total rent expense in 2013 and 2012, 13% in 2011 and 2010 and 14% in all prior years.
