Exhibit (12)(a)
CMS ENERGY CORPORATION
Ratios of Earnings to Fixed Charges and Combined Fixed Charges and Preferred Dividends
(Millions of Dollars)
Ratios of Earnings to Fixed Charges and Combined Fixed Charges and Preferred Dividends
(Millions of Dollars)
Three | ||||||||||||||||||||||||
Months | ||||||||||||||||||||||||
Ended | ||||||||||||||||||||||||
March 31 | Year Ended December 31 | |||||||||||||||||||||||
2009 | 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||||||||||
(b) | (c) | (d) | (e) | |||||||||||||||||||||
Earnings as defined (a) | ||||||||||||||||||||||||
Pretax income from continuing operations | $ | 121 | $ | 441 | $ | (317 | ) | $ | (434 | ) | $ | (772 | ) | $ | 98 | |||||||||
Exclude equity basis subsidiaries | 1 | (1 | ) | (22 | ) | (14 | ) | (17 | ) | (88 | ) | |||||||||||||
Fixed charges as defined | 106 | 429 | 489 | 535 | 539 | 637 | ||||||||||||||||||
Earnings as defined | $ | 228 | $ | 869 | $ | 150 | $ | 87 | $ | (250 | ) | $ | 647 | |||||||||||
Fixed charges as defined (a) | ||||||||||||||||||||||||
Interest on long-term debt | $ | 89 | $ | 371 | $ | 415 | $ | 492 | $ | 514 | $ | 560 | ||||||||||||
Other interest charges | 11 | 33 | 51 | 35 | 19 | 73 | ||||||||||||||||||
Estimated interest portion of lease rental | 6 | 25 | 23 | 8 | 6 | 4 | ||||||||||||||||||
Fixed charges as defined | $ | 106 | $ | 429 | $ | 489 | $ | 535 | $ | 539 | $ | 637 | ||||||||||||
Preferred dividends | 5 | 17 | 12 | 11 | 10 | 11 | ||||||||||||||||||
Combined fixed charges and preferred dividends | $ | 111 | $ | 446 | $ | 501 | $ | 546 | $ | 549 | $ | 648 | ||||||||||||
Ratio of earnings to fixed charges | 2.15 | 2.03 | — | — | — | 1.02 | ||||||||||||||||||
Ratio of earnings to combined fixed charges and preferred dividends | 2.05 | 1.95 | — | — | — | — | ||||||||||||||||||
NOTES: | ||
(a) | Earnings and fixed charges as defined in instructions for Item 503 of Regulation S-K. | |
(b) | For the year ended December 31, 2007, fixed charges exceeded earnings by $339 million and combined fixed charges and preferred dividends exceeded earnings by $351 million. Earnings as defined include $204 million in asset impairment charges and a $279 million charge for an electric sales contract termination. | |
(c) | For the year ended December 31, 2006, fixed charges exceeded earnings by $448 million and combined fixed charges and preferred dividends exceeded earnings by $459 million. Earnings as defined include $459 million of asset impairment charges. | |
(d) | For the year ended December 31, 2005, fixed charges exceeded earnings by $789 million and combined fixed charges and preferred dividends exceeded earnings by $799 million. Earnings as defined include $1.184 billion of asset impairment charges. | |
(e) | For 2004, fixed charges and combined fixed charges and preferred dividends, adjusted as defined, include $25 million of interest cost that was capitalized prior to 2004 and subsequently expensed in 2004. Combined fixed charges and preferred dividends exceeded earnings by $1 million. Earnings as defined include $160 million of asset impairments. |