Exhibit 12.1
Regency Energy Partners LP
Ratio of Earnings to Fixed Charges
(in millions, except for ratio amounts)
(Unaudited)
Successor | Predecessor | |||||||||||||||||||||||||||
Nine Months Ended September 30, 2013 | Year Ended December 31, 2012 | Year Ended December 31, 2011 | Period from Acquisition (May 26, 2010) to December 31, 2010 | Period from January 1, 2010 to May 25, 2010 | Year Ended December 31, 2009 | Year Ended December 31, 2008 | ||||||||||||||||||||||
Fixed charges: | ||||||||||||||||||||||||||||
Interest expense, net | 119 | 122 | 103 | $ | 48 | $ | 35 | $ | 78 | $ | 63 | |||||||||||||||||
Capitalized interest | — | 1 | 1 | 1 | 1 | 2 | 3 | |||||||||||||||||||||
Interest charges included in rental expense (c) | 3 | 2 | 2 | 1 | — | 1 | — | |||||||||||||||||||||
Distribution to the Series A Preferred Units | 5 | 8 | 8 | 4 | 2 | 4 | — | |||||||||||||||||||||
Accrection of the Series A Preferred Units | — | 2 | — | — | — | — | — | |||||||||||||||||||||
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Total fixed charges (a) | $ | 127 | $ | 135 | $ | 114 | $ | 54 | $ | 38 | $ | 85 | $ | 66 | ||||||||||||||
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Earnings: | ||||||||||||||||||||||||||||
Income (loss) from continuing operations before income taxes | 23 | 34 | 74 | $ | (4 | ) | $ | (5 | ) | $ | 142 | $ | 87 | |||||||||||||||
Less: | ||||||||||||||||||||||||||||
Income from unconsolidated affiliates | 103 | 105 | 120 | 54 | 16 | 8 | — | |||||||||||||||||||||
Capitalized interest | — | 1 | 1 | 1 | 1 | 2 | 3 | |||||||||||||||||||||
Noncontrolling interest | 4 | 2 | 2 | — | — | — | — | |||||||||||||||||||||
Add: | ||||||||||||||||||||||||||||
Distributed income from unconsolidated affiliates | 108 | 121 | 119 | 57 | 12 | 8 | — | |||||||||||||||||||||
Fixed charges | 127 | 135 | 114 | 54 | 38 | 85 | 66 | |||||||||||||||||||||
Amortization of capitalized interest | 1 | — | 1 | — | 1 | — | — | |||||||||||||||||||||
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Total earnings available for fixed charges (b) | $ | 152 | $ | 182 | $ | 185 | $ | 52 | $ | 29 | $ | 225 | $ | 150 | ||||||||||||||
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Ratio of earnings to fixed charges | 1.20 | 1.35 | 1.63 | — | — | 2.66 | 2.29 | |||||||||||||||||||||
(1) Earnings were insufficient to cover fixed charges by: | $ | — | $ | — | $ | — | $ | 2 | $ | 9 | $ | — | $ | — |
(c) | Amount approximates reasonable interest expense included within operating lease payments. |