EX-12.3 10 ex1203.htm COMP. OF RATIOS OF EARNINGS TO FIXED CHARGES FOR PG&E CORPORATION ex1203.htm .

EXHIBIT 12.3
PG&E CORPORATION
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

 
Year Ended December 31,
 
2009
2008
2007
2006
2005
Earnings:
          
Incoming from continuing operations
$1,234  
$1,198  
$1,020  
$1,005  
$920  
Income taxes provision
460  
425  
539  
554  
544  
Fixed charges
861  
907  
937  
845  
639  
Pre-tax earnings required to cover
the preferred stock dividend of consolidated subsidiaries
(16) 
(16) 
(17) 
(15) 
(20) 
Total Earnings
$2,539  
$2,514  
$2,479  
$2,389  
$2,083  
Fixed Charges:
          
Interest and amortization of premiums, discounts and capitalized expenses related to short-term borrowings and long-term debt, net
$798  
$825  
$865  
$799  
$603  
Interest on capital leases
19  
22  
23  
11  
1  
AFUDC debt
44  
44  
32  
20  
15  
Pre-tax earnings required to cover
the preferred stock dividend of consolidated subsidiaries
16  
16  
17  
15  
20  
Total Fixed Charges
$877  
$907  
$937  
$845  
$639  
Ratios of Earnings to
Fixed Charges
2.90  
2.77  
2.65  
2.83  
3.26  

Note:
For the purpose of computing PG&E Corporation's ratios of earnings to fixed charges, “earnings” represent income from continuing operations adjusted for income taxes, fixed charges (excluding capitalized interest), and pre-tax earnings required to cover the preferred stock dividend of consolidated subsidiaries.   “Fixed charges” include interest on long-term debt and short-term borrowings (including a representative portion of rental expense), amortization of bond premium, discount and expense, interest on capital leases, AFUDC debt, and earnings required to cover preferred stock dividends of consolidated subsidiaries.  Fixed charges exclude interest on tax liabilities.



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