Exhibit 12.1
The AES Corporation and Subsidiaries
Statement Re: Calculation of Ratio of Earnings to Fixed Charges
(in millions, unaudited)
2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||
Actual: | ||||||||||||||||||||
Computation of earnings: | ||||||||||||||||||||
Income from continuing operations before income taxes and equity in earnings of affiliates | $ | 1,122 | $ | 1,576 | $ | 1,048 | $ | 230 | $ | 2,260 | ||||||||||
Fixed charges | 1,559 | 1,584 | 1,595 | 1,693 | 1,799 | |||||||||||||||
Amortization of capitalized interest | 19 | 21 | 20 | 18 | 9 | |||||||||||||||
Distributed income of equity investees | 16 | 28 | 2 | 5 | 25 | |||||||||||||||
Less: | ||||||||||||||||||||
Capitalized interest | (97 | ) | (75 | ) | (58 | ) | (87 | ) | (152 | ) | ||||||||||
Preference security dividend of consolidated subsidiary | (10 | ) | (5 | ) | (6 | ) | (6 | ) | (4 | ) | ||||||||||
Noncontrolling interests in pretax income of subsidiaries that have not incurred fixed charges | (28 | ) | (26 | ) | (40 | ) | (4 | ) | (2 | ) | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Earnings | $ | 2,581 | $ | 3,103 | $ | 2,561 | $ | 1,849 | $ | 3,935 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Fixed charges: | ||||||||||||||||||||
Interest expense, debt premium and discount amortization | $ | 1,430 | $ | 1,485 | $ | 1,516 | $ | 1,581 | $ | 1,623 | ||||||||||
Capitalized interest | 97 | 75 | 58 | 87 | 152 | |||||||||||||||
Preference security dividend of consolidated subsidiary | 10 | 5 | 6 | 6 | 4 | |||||||||||||||
Interest portion of rental expense(1) | 22 | 19 | 15 | 19 | 20 | |||||||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Fixed charges | $ | 1,559 | $ | 1,584 | $ | 1,595 | $ | 1,693 | $ | 1,799 | ||||||||||
|
|
|
|
|
|
|
|
|
| |||||||||||
Ratio of earnings to fixed charges | 1.66 | 1.96 | 1.61 | 1.09 | 2.19 |
(1) | Calculated as one-third of rental expense, which is deemed to be representative of the interest factor in rental expense. |