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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: July 21, 1999
THE COASTAL CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 74-1734212
(State of incorporation (I.R.S. Employer
or organization) Identification No.)
Coastal Tower
Nine Greenway Plaza
Houston, Texas 77046-0995
(Address of principal executive offices) (Zip Code)
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Item 7. Financial Statements and Exhibits.
(c) Exhibits.
(12) Computation of Ratio of Earnings to Fixed Charges and Preferred
Stock Dividends.
SIGNATURE
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)
Date: July 21, 1999 By: COBY C. HESSE
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Coby C. Hesse
Senior Executive Vice President
Exhibit 12
THE COASTAL CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
<TABLE>
<CAPTION>
Three Months
Year Ended December 31, Ended March 31,
----------------------------------------------------- --------------------
1994 1995 1996 1997 1998 1998 1999
--------- --------- --------- --------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
EARNINGS:
Pretax earnings from continuing
operations....................... $ 336.6 $ 321.6 $ 657.2 $ 519.2 $ 635.2 $ 184.2 $ 185.4
Fixed charges, excluding capitalized
interest - see below............... 424.6 429.1 399.2 348.4 348.8 84.8 94.1
-------- -------- -------- -------- -------- -------- --------
Earnings........................... $ 761.2 $ 750.7 $1,056.4 $ 867.6 $ 984.0 $ 269.0 $ 279.5
======== ======== ======== ======== ======== ======== ========
FIXED CHARGES:
Interest expense................... $ 398.9 $ 403.0 $ 368.3 $ 307.5 $ 294.9 $ 75.3 $ 77.0
Interest factor, included in rentals 23.6 26.1 30.9 31.7 28.7 7.2 8.4
Dividends on preferred stock of
subsidiaries..................... 2.1 - - 9.2 25.2 2.3 8.7
-------- -------- -------- -------- -------- -------- --------
Fixed charges, excluding capitalized
interest......................... 424.6 429.1 399.2 348.4 348.8 84.8 94.1
Capitalized interest............... 8.3 5.9 8.0 15.5 26.9 5.5 7.4
-------- -------- -------- -------- -------- -------- --------
Fixed charges...................... $ 432.9 $ 435.0 $ 407.2 $ 363.9 $ 375.7 $ 90.3 $ 101.5
======== ======== ======== ======== ======== ======== ========
Ratio of Earnings to Fixed Charges.... 1.76x 1.73x 2.59x 2.38x 2.62x 2.98x 2.75x
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