NGL Energy Partners (NGL) 10-K 2017 FY Annual report

Exhibit 12.1

NGL ENERGY PARTNERS LP AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS (LOSS) TO FIXED CHARGES

AND COMBINED FIXED CHARGES AND PREFERRED UNIT DISTRIBUTIONS

(In thousands, except ratio amounts)

	Year Ended March 31,
	2017			2016			2015			2014			2013
EARNINGS (LOSS):
Income (loss) before income taxes	$	145,813		$	(187,464	)	$	46,571		$	49,695		$	50,065
Income before income taxes attributable to noncontrolling interests	(6,832		)	(11,832		)	(12,887		)	(1,103		)	(250		)
Fixed charges	189,465			146,401			151,956			91,622			66,824
Total earnings (loss)	$	328,446		$	(52,895	)	$	185,640		$	140,214		$	116,639
FIXED CHARGES:
Interest expense	$	150,478		$	133,089		$	110,123		$	58,854		$	32,994
(Gain) loss on early extinguishment of debt	(2,449		)	(28,532		)	—			—			5,769
Portion of rental expense estimated to relate to interest (1)	41,436			41,844			41,833			32,768			28,061
Fixed charges	$	189,465		$	146,401		$	151,956		$	91,622		$	66,824
PREFERRED UNIT DISTRIBUTIONS	14,693			—			—			—			—
Combined fixed charges and preferred unit distributions	$	204,158		$	146,401		$	151,956		$	91,622		$	66,824
Ratio of earnings to fixed charges (2)	1.73			—			1.22			1.53			1.75
Ratio of earnings to combined fixed charges and preferred unit distributions	1.61

(1) Represents one-third of the total operating lease rental expense, which is that portion estimated to represent interest.

(2) The ratio was less than 1:1 for the year ended March 31, 2016. NGL Energy Partners LP would have needed to generate an additional $199.3 million of earnings to achieve a ratio of 1:1.