Exhibit 12
NORTHWEST NATURAL GAS COMPANY
Ratio of Earnings to Fixed Charges
January 1, 1998 - September 30, 2003
(Thousands, except ratio of earnings to fixed charges)
(Unaudited)
9 Months
Year Ended December 31, Ended
------------------------------------------------------------- Sept. 30,
1998 1999 2000 2001 2002 2003 1, 2
------------------------------------------------------------- -----------
Fixed charges, as defined:
Interest on long-term debt $ 27,389 $ 27,728 $ 29,987 $ 30,224 $ 32,264 $ 25,174
Other interest 4,909 2,778 3,628 3,772 1,620 1,298
Preferred dividends - - - - - 129
Amortization of debt
discount and expense 714 699 735 768 799 521
Interest portion of rentals 1,986 1,707 1,628 1,572 1,578 1,215
------------ ----------- ----------- ------------ ----------- -----------
Total fixed charges, as defined $ 34,998 $ 32,912 $ 35,978 $ 36,336 $ 36,261 $ 28,337
============ =========== =========== ============ =========== ===========
Earnings, as defined:
Net income $ 27,301 $ 45,296 $ 50,224 $ 50,187 $ 43,792 $ 24,449
Preferred dividends - - - - - (129)
Taxes on income 14,604 24,591 26,829 27,553 23,444 12,170
Fixed charges, as above 34,998 32,912 35,978 36,336 36,261 28,337
------------ ----------- ----------- ------------ ----------- -----------
Total earnings, as defined $ 76,903 $ 102,799 $ 113,031 $ 114,076 $ 103,497 $ 64,827
============ =========== =========== ============ =========== ===========
Ratio of earnings to fixed
charges 2.20 3.12 3.14 3.14 2.85 2.29
============ =========== =========== ============ =========== ===========
<FN>
1 For the nine-months ended Sept. 30, 2003, other interest includes dividends on redeemable preferred
stock which have been reclassified as interest expense beginning July 1, 2003 upon adoption of SFAS No. 150.
2 A significant part of the business of the Company is of a seasonal nature; therefore, the ratio of earnings
to fixed charges for the interim period is not necessarily indicative of the results for a full year.
</FN>
NORTHWEST NATURAL GAS COMPANY
Ratio of Earnings to Combined Fixed Charges and Preference Dividends
January 1, 1998 - September 30, 2003
(Thousands, except ratio of earnings to fixed charges)
(Unaudited)
9 Months
Year Ended December 31, Ended
------------------------------------------------------------- Sept. 30,
1998 1999 2000 2001 2002 2003 1, 2
------------------------------------------------------------- -----------
Fixed charges, as defined:
Interest on long-term debt $ 27,389 $ 27,728 $ 29,987 $ 30,224 $ 32,264 $ 25,174
Other interest 4,909 2,778 3,628 3,772 1,620 1,298
Preferred dividends 2,577 2,515 2,456 2,401 2,280 423
Amortization of debt
discount and expense 714 699 735 768 799 521
Interest portion of rentals 1,986 1,707 1,628 1,572 1,578 1,215
------------ ----------- ----------- ------------ ----------- -----------
Total fixed charges, as defined $ 37,575 $ 35,427 $ 38,434 $ 38,737 $ 38,541 $ 28,631
============ =========== =========== ============ =========== ===========
Earnings, as defined:
Net income $ 27,301 $ 45,296 $ 50,224 $ 50,187 $ 43,792 $ 24,449
Preferred dividends - - - - - (129)
Taxes on income 14,604 24,591 26,829 27,553 23,444 12,170
Fixed charges, as above 37,575 35,427 38,434 38,737 38,541 28,631
------------ ----------- ----------- ------------ ----------- -----------
Total earnings, as defined $ 79,480 $ 105,314 $ 115,487 $ 116,477 $ 105,777 $ 65,121
============ =========== =========== ============ =========== ===========
Ratio of earnings to fixed
charges 2.12 2.97 3.00 3.01 2.74 2.27
============ =========== =========== ============ =========== ===========
<FN>
1 For the nine-months ended Sept. 30, 2003, other interest includes dividends on redeemable preferred
stock which have been reclassified as interest expense beginning July 1, 2003 upon adoption of SFAS No. 150.
2 A significant part of the business of the Company is of a seasonal nature; therefore, the ratio of earnings
to fixed charges for the interim period is not necessarily indicative of the results for a full year.
</FN>