Exhibit 12.1
NORFOLK SOUTHERN CORPORATION AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
Six months ended | Year ended December 31, | |||||||||||||||||||||||
| June 30, 2013 | 2012 | 2011 | 2010 | 2009 | 2008 | |||||||||||||||||||
| ($ in millions) | ||||||||||||||||||||||||
| EARNINGS | ||||||||||||||||||||||||
| Income from continuing operations before income taxes as reported | $ | 1,434 | $ | 2,758 | $ | 2,918 | $ | 2,367 | $ | 1,622 | $ | 2,750 | ||||||||||||
| Add (subtract): | ||||||||||||||||||||||||
| Total interest expenses (as detailed below) | 282 | 546 | 504 | 517 | 499 | 491 | ||||||||||||||||||
| Amortization of capitalized interest | 5 | 10 | 9 | 8 | 7 | 6 | ||||||||||||||||||
| Income of partially owned entities(1) | (20) | (45) | (39) | (43) | (36) | (40) | ||||||||||||||||||
| Total earnings | $ | 1,701 | $ | 3,269 | $ | 3,392 | $ | 2,849 | $ | 2,092 | $ | 3,207 | ||||||||||||
| FIXED CHARGES | ||||||||||||||||||||||||
| Interest expense on debt | $ | 257 | $ | 495 | $ | 455 | $ | 462 | $ | 467 | $ | 444 | ||||||||||||
| Interest expense on unrecognized tax benefit | 1 | (1) | (9) | 1 | (6) | (15) | ||||||||||||||||||
| Other interest expense | 5 | 10 | 12 | 16 | 1 | 17 | ||||||||||||||||||
| Calculated interest portion of rent expense(2) | 19 | 42 | 46 | 38 | 37 | 45 | ||||||||||||||||||
| Total interest expenses | 282 | 546 | 504 | 517 | 499 | 491 | ||||||||||||||||||
| Capitalized interest | 9 | 20 | 19 | 15 | 17 | 15 | ||||||||||||||||||
| Total fixed charges | $ | 291 | $ | 566 | $ | 523 | $ | 532 | $ | 516 | $ | 506 | ||||||||||||
| RATIO OF EARNINGS TO FIXED CHARGES | 5.85 | 5.78 | 6.49 | 5.36 | 4.05 | 6.34 | ||||||||||||||||||
(1) Represents undistributed income of equity investees included in income from continuing operations before income taxes as reported.
(2) Interest component of leases includes one-third of rental expense which approximates the interest component of operating leases.