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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report: February 18, 1997
Date of earliest event reported: February 18, 1997
THE COASTAL CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 1-7176 74-1734212
(State or other jurisdiction (Commission (I.R.S. Employer
of incorporation) File Number) Identification No.)
Coastal Tower
Nine Greenway Plaza
Houston, Texas 77046-0995
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (713) 877-1400
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ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(c) Exhibits.
(12) Ratio of Earnings to Fixed Charges.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
THE COASTAL CORPORATION
(Registrant)
COBY C. HESSE
Date: February 18, 1997 By: ___________________________
Coby C. Hesse
Executive Vice President
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EXHIBIT 12
THE COASTAL CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(DOLLARS IN MILLIONS)
<TABLE>
<CAPTION>
NINE MONTHS
ENDED
YEAR ENDED DECEMBER 31, SEPTEMBER 30,
------------------------------------------ ------------------
1991 1992 1993 1994 1995 1995 1996
---- ------ ----- ----- ------ ------- ------
<S> <C> <C> <C> <C> <C> <C> <C>
Earnings:
Pretax earnings (loss)
from continuing
operations............ $ (.7) $(197.2) $202.4 $324.9 $297.2 $ 182.8 $ 253.5
Fixed charges,
excluding capitalized
interest--see below... 480.5 524.8 481.8 433.9 441.9 334.5 302.3
------- ------- ------ ------ ------ ------- -------
Earnings............... $ 479.8 $ 327.6 $684.2 $758.8 $739.1 $ 517.3 $ 555.8
======= ======= ====== ====== ====== ======= =======
Fixed Charges:
Interest expense....... $ 437.8 $ 485.2 $442.5 $407.8 $415.4 $ 314.9 $ 278.2
Interest factor, in-
cluded in rentals..... 32.7 30.9 32.7 24.0 26.5 19.6 24.1
Dividends on preferred
stock of subsidiaries. 10.0 8.7 6.6 2.1 -- -- --
------- ------- ------ ------ ------ ------- -------
Fixed charges,
excluding capitalized
interest.............. 480.5 524.8 481.8 433.9 441.9 334.5 302.3
Capitalized interest... 22.1 10.7 8.4 8.3 5.9 4.6 5.5
------- ------- ------ ------ ------ ------- -------
Fixed charges.......... $ 502.6 $ 535.5 $490.2 $442.2 $447.8 $ 339.1 $ 307.8
======= ======= ====== ====== ====== ======= =======
Ratio of earnings to
fixed charges........... -- -- 1.40x 1.72x 1.65x 1.53x 1.81x
======= ======= ====== ====== ====== ======= =======
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For the years ended December 31, 1991 and 1992, earnings were less than fixed
charges by $22.8 million and $207.9 million, respectively.
