Exhibit 12
 EL PASO CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(DOLLARS IN MILLIONS)
 For the Years ended December 31,2008
    
    
    2007
    
    
    2006
    
    
    2005
    
    
    2004EarningsPre-tax income (loss) from continuing operations
    
    $
    (1,068
    )
    
    $
    658
    
    
    $
    522
    
    
    $
    (837
    )
    
    $
    (1,148
    )Minority interests in consolidated subsidiaries
    
    
    34
    
    
    
    6
    
    
    
    1
    
    
    
    11
    
    
    
    62Income from equity investees
    
    
    (48
    )
    
    
    (101
    )
    
    
    (145
    )
    
    
    (281
    )
    
    
    (479
    )Pre-tax income (loss) from continuing operations before
adjustment for minority interests in consolidated subsidiaries
and (income) loss from equity investees
    
    
    (1,082
    )
    
    
    563
    
    
    
    378
    
    
    
    (1,107
    )
    
    
    (1,565
    )Fixed charges
    
    
    972
    
    
    
    1,074
    
    
    
    1,354
    
    
    
    1,441
    
    
    
    1,743Distributed income of equity investees
    
    
    180
    
    
    
    189
    
    
    
    139
    
    
    
    209
    
    
    
    260Capitalized interest
    
    
    (45
    )
    
    
    (51
    )
    
    
    (45
    )
    
    
    (45
    )
    
    
    (41
    )Preferred returns on consolidated subsidiaries
    
    
    
    
    
    
    (6
    )
    
    
    (1
    )
    
    
    (11
    )
    
    
    (76
    )Total earnings available for fixed charges
    
    $
    25
    
    
    $
    1,769
    
    
    $
    1,825
    
    
    $
    487
    
    
    $
    321Fixed chargesInterest and debt expense
    
    $
    959
    
    
    $
    1,055
    
    
    $
    1,340
    
    
    $
    1,413
    
    
    $
    1,640Interest component of rent
    
    
    13
    
    
    
    13
    
    
    
    13
    
    
    
    17
    
    
    
    27Preferred returns on consolidated subsidiaries
    
    
    
    
    
    
    6
    
    
    
    1
    
    
    
    11
    
    
    
    76Total fixed charges
    
    $
    972
    
    
    $
    1,074
    
    
    $
    1,354
    
    
    $
    1,441
    
    
    $
    1,743Ratio of earnings to fixed charges(1)
    
    
    
    
    
    
    1.65
    
    
    
    1.35
    
    
    
    
    
    
    
    Fixed chargesInterest and debt expense
    
    $
    959
    
    
    $
    1,055
    
    
    $
    1,340
    
    
    $
    1,413
    
    
    $
    1,640Interest component of rent
    
    
    13
    
    
    
    13
    
    
    
    13
    
    
    
    17
    
    
    
    27Preferred returns on consolidated subsidiaries
    
    
    
    
    
    
    6
    
    
    
    1
    
    
    
    11
    
    
    
    76Preferred stock dividend of parent
    
    
    37
    
    
    
    56
    
    
    
    36
    
    
    
    27
    
    
    
    Total fixed charges and preferred stock dividend
    
    $
    1,009
    
    
    $
    1,130
    
    
    $
    1,390
    
    
    $
    1,468
    
    
    $
    1,743Ratio of earnings to combined fixed charges and preferred stock dividends(2)
    
    
    
    
    
    
    1.57
    
    
    
    1.31
    
    
    
    
    
    
    
    
 
 (1)
    
    Earnings for the years ended December 31, 2008, 2005 and
2004 were inadequate to cover fixed charges by
$947 million, $954 million and $1,422 million, respectively.(2)
    
    Earnings for the years ended December 31, 2008, 2005 and
2004 were inadequate to cover combined fixed charges and
preferred stock dividends by $984 million, $981 million and $1,422 million, respectively.  
    
    minority interests in consolidated subsidiaries;
    
    income or loss from equity investees, adjusted to reflect actual distributions from equity investments; and
    
    fixed charges;
  
    
    capitalized interest; and
    
    preferred returns on consolidated subsidiaries.
  
    
    interest costs, not including interest on tax liabilities
which is included in income tax expense our income statement;
    
    amortization of debt costs;
    
    that portion of rental expense which we believe represents an interest factor; and
    
    preferred stock dividends and preferred returns on consolidated subsidiaries.