Exhibit 12.1
ACCESS MIDSTREAM PARTNERS, L.P.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Year Ended December 31, 2012 | Year Ended December 31, 2011 | Year Ended December 31, 2010 | Predecessor | |||||||||||||||||||||
Three Months Ended December 31, 2009 | Nine Months Ended September 30, 2009 | Year Ended December 31, 2008 | ||||||||||||||||||||||
($ in thousands) | ||||||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Income before income taxes | $114,008 | $ | 197,193 | $ | 197,658 | $ | 51,331 | $ | (11,033 | ) | $ | 104,008 | ||||||||||||
Add: | ||||||||||||||||||||||||
Fixed charges | 106,314 | 44,648 | 27,047 | 6,095 | 21,619 | 19,016 | ||||||||||||||||||
Distributed income of equity investees | 44,682 | 433 | ||||||||||||||||||||||
Amortization of capitalized interest | 802 | 667 | 147 | — | — | — | ||||||||||||||||||
Less: | ||||||||||||||||||||||||
Capitalized interest | (14,554 | ) | (9,541 | ) | (2,631 | ) | (257 | ) | (3,782 | ) | — | |||||||||||||
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Earnings | $251,252 | $ | 233,400 | $ | 222,221 | $ | 57,169 | $ | 6,804 | $ | 123,024 | |||||||||||||
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Fixed charges: | ||||||||||||||||||||||||
Interest expensed and capitalized | $73,968 | $ | 19,772 | $ | 5,490 | $ | 877 | $ | 4,129 | $ | 1,871 | |||||||||||||
Amortization of debt expense | 5,329 | 4,660 | 4,876 | 1,321 | 1,427 | 513 | ||||||||||||||||||
Interest component of rent expense | 27,017 | 20,216 | 16,681 | 3,897 | 16,063 | 16,632 | ||||||||||||||||||
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Fixed charges | $106,314 | $ | 44,648 | $ | 27,047 | $ | 6,095 | $ | 21,619 | $ | 19,016 | |||||||||||||
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Ratio of earnings to fixed charges | 2.36x | 5.2x | 8.2x | 9.4x | — | 6.5x |
These ratios were computed by dividing earnings by fixed charges. For this purpose, earnings include pre-tax income, plus fixed charges to the extent they affect current year earnings, amortization of capitalized interest, then subtracting interest capitalized during the year. Fixed charges include interest expensed and capitalized, amortized premiums, discounts and capitalized expenses related to indebtedness, and estimates of interest within rental expenses.