EXHIBIT 12.1
NORFOLK SOUTHERN CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)
Six months ended
June 30 Year ended December 31
2000 1999 1999 1998 1997 1996 1995
EARNINGS
Income from continuing
operations before
income taxes as
reported $68 $189 $351 $845 $998 $1,166 $1,089
Add:
Total interest
expenses (as
detailed below) 368 343 708 688 530 182 173
Amortization of
capitalized
interest 2 2 4 3 3 3 2
Income (loss) of
partially owned
entities (1) 41 46 47 165 113 1 --
Subsidiaries'
preferred dividend
requirement 1 1 2 2 2 2 3
- - - - - - -
Income before
income
taxes, as
adjusted $480 $581 $1,112 $1,703 $1,646 $1,354 $1,267
===== ====== ======= ======= ====== ====== ======
FIXED CHARGES
Interest expense on $279 $259 $531 $516 $385 $116 $113
debt Other
interest expense 21 15 35 27 32 36 31
Calculated interest
portion of rent
expense 19 17 35 31 30 30 29
NS' share of Conrail
interest 49 52 107 114 83 -- --
Total interest
expenses 368 343 708 688 530 182 173
Capitalized interest 8 8 15 21 17 12 14
Subsidiaries' preferred
dividend requirement
on a pretax basis 2 2 4 4 4 4 4
Total fixed
charges $378 $353 $727 $713 $551 $198 $191
RATIO OF EARNINGS
TO FIXED CHARGES 1.27 1.65 1.53 2.39 2.99 6.84 6.63
(1) Includes: (a) the distributed income of 20%-49% owned entities,
net of equity recorded in undistributed income and the minority
income of consolidated entities which have fixed charges; and (b)
NS' share of Conrail's income before income taxes, net of equity
in earnings of Conrail included in NS' income from continuing
operations before taxes as reported.
The computations do not include $0.3 million of interest expense on an
annual basis related to $7.8 million of debt guaranteed for a less than 50%
owned entity.
