Exhibit 12
GAS TRANSMISSION NORTHWEST CORPORATION
EXHIBIT 12 - RATIO OF EARNINGS TO FIXED CHARGES
2004 | 2003 | 2002 | 2001 | 2000 | ||||||||||||
(Dollars in Millions) | ||||||||||||||||
Earnings | ||||||||||||||||
Income (loss) from Continuing Operations | $ | (7.4 | ) | $ | 53.9 | $ | 79.0 | $ | 76.4 | $ | 58.4 | |||||
Adjustments: | ||||||||||||||||
Income taxes | 6.8 | 34.9 | 43.7 | 34.5 | 37.4 | |||||||||||
Fixed charges (as below) | 39.0 | 39.9 | 38.9 | 38.0 | 40.9 | |||||||||||
Total adjusted earnings | $ | 38.4 | $ | 128.7 | $ | 161.6 | $ | 148.9 | $ | 136.7 | ||||||
Fixed charges: | ||||||||||||||||
Net interest expense | $ | 38.2 | $ | 39.2 | $ | 35.2 | $ | 37.0 | $ | 40.4 | ||||||
Adjustments: | ||||||||||||||||
Interest component of rents | 0.3 | 0.3 | 0.4 | 0.3 | 0.1 | |||||||||||
AFUDC debt | 0.5 | 0.4 | 3.3 | 0.7 | 0.4 | |||||||||||
Total fixed charges | $ | 39.0 | $ | 39.9 | $ | 38.9 | $ | 38.0 | $ | 40.9 | ||||||
Ratio of earnings to fixed charges | 1.0 | (a) | 3.2 | 4.2 | 3.9 | 3.3 | ||||||||||
Amount of deficiency | $ | 0.7 |
(a) | Removing the impact of the charge to other income and (income deductions) for the Liberty Matter of $95.4 million and the $30.0 million tax effect thereof, net income would have been $58.0 million and the resulting ratio of earnings to fixed charges would have shown as 3.4. |