MDU RESOURCES GROUP, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS Twelve Months Year Ended Ended September 30, 2000 December 31, 1999 (In thousands of dollars) Earnings Available for Fixed Charges: Net Income per Consolidated Statements of Income $ 98,947 $ 84,080 Income Taxes 59,298 49,310 158,245 133,390 Rents (a) 3,698 2,018 Interest (b) 44,298 36,539 Total Earnings Available for Fixed Charges $ 206,241 $ 171,947 Preferred Dividend Requirements $ 768 $ 772 Ratio of Income Before Income Taxes to Net Income 160% 159% Preferred Dividend Factor on Pretax Basis 1,229 1,227 Fixed Charges (c) 47,996 38,557 Combined Fixed Charges and Preferred Stock Dividends $ 49,225 $ 39,784 Ratio of Earnings to Fixed Charges 4.3x 4.5x Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends 4.2x 4.3x (a) Represents portion (33 1/3%) of rents which is estimated to approximately constitute the return to the lessors on their investment in leased premises. (b) Represents interest and amortization of debt discount and expense on all indebtedness and excludes amortization of gains or losses on reacquired debt which, under the Uniform System of Accounts, is classified as a reduction of, or increase in, interest expense in the Consolidated Statements of Income. (c) Represents rents and interest, both as defined above.