Piedmont Natural Gas (PNY) 10-Q 2004 Q2 Quarterly report

Exhibit 12

Piedmont Natural Gas Company, Inc. and Subsidiaries
Computation of Ratio of Earnings to Fixed Charges
For Fiscal Years Ended October 31, 1999 through 2003
and Twelve Months Ended July 31, 2004
(In thousands except ratio amounts)

	July 31,
	2004			2003			2002		2001		2000		1999
Earnings:
Pre-tax income from continuing operations	$	138,311		$	105,189		$	82,091	$	90,683	$	99,199	$	103,077
Distributed income of equity investees		26,009			10,188			22,143		9,885		4,255		—
Fixed charges		50,766			43,491			44,251		47,793		44,368		37,978
Preferred security dividend, net of tax		(1,379	)		(276	)		—		—		—		—
Total Adjusted Earnings	$	213,707		$	158,592		$	148,485	$	148,361	$	147,822	$	141,055
Fixed Charges:
Interest	$	47,724		$	41,401		$	42,250	$	45,286	$	42,010	$	35,911
Amortization of debt expense		391			365			366		420		465		323
One-third of rental expense		1,272			1,449			1,635		2,087		1,893		1,744
Preferred security dividend, net of tax		1,379			276			—		—		—		—
Total Fixed Charges	$	50,766		$	43,491		$	44,251	$	47,793	$	44,368	$	37,978
Ratio of Earnings to Fixed Charges		4.21			3.65			3.36		3.10		3.33		3.71