-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, eXs+0wjgB0ldbdZQjjeN8n474UVfBa0NkIL6vQ0lLMheiDGzAQQcUTjvxntsgAF7 o/r9xu5Oft/2UjTvaRc8nA== 0000950131-94-001288.txt : 19940815 0000950131-94-001288.hdr.sgml : 19940815 ACCESSION NUMBER: 0000950131-94-001288 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19940630 FILED AS OF DATE: 19940812 FILER: COMPANY DATA: COMPANY CONFORMED NAME: UNION ELECTRIC CO CENTRAL INDEX KEY: 0000100826 STANDARD INDUSTRIAL CLASSIFICATION: 4911 IRS NUMBER: 430559760 STATE OF INCORPORATION: MO FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-02967 FILM NUMBER: 94543269 BUSINESS ADDRESS: STREET 1: P O BOX 149 CITY: ST LOUIS STATE: MO ZIP: 63166 BUSINESS PHONE: 3146213222 MAIL ADDRESS: STREET 1: P O BOX 149 CITY: ST LOUIS STATE: MO ZIP: 63166 10-Q 1 10-Q ================================================================================ UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR QUARTERLY PERIOD ENDED JUNE 30, 1994 [_] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For The Transition Period From to COMMISSION FILE NUMBER 1-2967. UNION ELECTRIC COMPANY (Exact name of registrant as specified in its charter) Missouri 43-0559760 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 1901 Chouteau Avenue, St. Louis, Missouri 63103 (Address of principal executive offices and Zip Code) Registrant's telephone number, including area code: (314) 621-3222 Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No ------- -------. Shares outstanding of each of registrant's classes of common stock as of July 31, 1994: Common Stock, $5 par value - 102,123,834 (excl. 42,990 treasury shares) ================================================================================ UNION ELECTRIC COMPANY INDEX
Page No. Part I Financial Information (Unaudited) Balance Sheet -- June 30, 1994 and December 31, 1993 2 Statement of Income -- Three Months, Six Months and Twelve Months Ended June 30, 1994 and 1993 3 Statement of Cash Flows -- Six Months Ended June 30, 1994 and 1993 4 Notes to Financial Statements 5 Management's Discussion and Analysis 6 thru 8 Part II Other Information
Page 2 UNION ELECTRIC COMPANY ---------------------- BALANCE SHEET ------------- (UNAUDITED) ----------- (Thousands of Dollars)
ASSETS - ------ June 30, December 31, 1994 1993 ---------- ------------ Property and plant, at original cost: Electric $8,088,691 $7,916,493 Gas 154,662 149,167 Other 35,143 34,884 ---------- ---------- 8,278,496 8,100,544 Less accumulated depreciation and amortization 3,191,605 3,079,509 ---------- ---------- 5,086,891 5,021,035 Construction work in progress: Nuclear fuel in process 109,185 101,265 Other 110,052 142,656 ---------- ---------- Total property and plant, net 5,306,128 5,264,956 Regulatory asset - deferred income taxes 738,845 762,331 Deferred charges and other assets: Unamortized debt expense 51,908 53,451 Nuclear decommissioning trust fund 49,660 44,420 Other 26,383 28,552 ---------- ---------- Total deferred charges and other assets 127,951 126,423 Current assets: Cash 175 1,297 Accounts receivable - trade (less allowance for doubtful accounts of $6,566 and $5,858, at respective dates) 177,351 178,559 Unbilled revenue 131,051 79,957 Other accounts and notes receivable 16,872 18,319 Materials and supplies, at average cost - Fossil fuel 72,457 53,123 Construction and maintenance 93,769 87,450 Environmental bond fund 10,464 17,026 Other 6,524 6,129 ---------- ---------- Total current assets 508,663 441,860 ---------- ---------- Total Assets $6,681,587 $6,595,570 ========== ==========
CAPITAL AND LIABILITIES - ----------------------- June 30, December 31, 1994 1993 ---------- ------------ Capitalization: Common stock, $5 par value, authorized 150,000,000 shares; outstanding 102,123,834 shares (excluding 42,990 shares at par value in treasury) $ 510,619 $ 510,619 Other paid-in capital 717,669 717,669 Retained earnings 985,311 977,880 ---------- ---------- Total common stockholders' equity 2,213,599 2,206,168 Preferred stock not subject to mandatory redemption 218,497 218,497 Preferred stock subject to mandatory redemption 676 702 Long-term debt 1,830,038 1,777,153 Unamortized discount and premium on debt (10,411) (10,498) ---------- ---------- Total capitalization 4,252,399 4,192,022 Accumulated deferred income taxes 1,362,525 1,360,159 Accumulated deferred investment tax credits 175,794 178,887 Regulatory liability 235,161 266,399 Accumulated provision for nuclear decommissioning 51,333 46,093 Other deferred credits and liabilities 112,880 92,227 Current and accrued liabilities: Current maturity of long-term debt 72,391 30,539 Accounts payable 86,981 153,474 Wages payable 35,151 37,326 Bank loans 26,500 59,600 Income taxes accrued 66,445 25,147 Accumulated deferred income taxes 28,840 28,871 Other taxes accrued 63,662 17,578 Interest accrued 47,332 41,252 Dividends declared 3,301 3,301 Other 60,892 62,695 ---------- ---------- Total current and accrued liabilities 491,495 459,783 ---------- ---------- Total Capital and Liabilities $6,681,587 $6,595,570 ========== ==========
Page 3 UNION ELECTRIC COMPANY ---------------------- STATEMENT OF INCOME ------------------- (UNAUDITED) (Thousands of Dollars Except Shares and Per Share Amounts)
Three Months Ended Six Months Ended Twelve Months Ended June 30, June 30, June 30, ------------------- ------------------- ----------------------- 1994 1993 1994 1993 1994 1993 -------- -------- -------- --------- ---------- ---------- Operating revenues (*): Electric $516,847 $488,359 $918,814 $891,824 $1,992,970 $1,937,370 Gas 16,003 23,756 52,754 73,096 79,210 110,082 Other 94 94 276 255 494 445 -------- -------- -------- -------- ---------- ---------- Total operating revenues 532,944 512,209 971,844 965,175 2,072,674 2,047,897 Operating expenses: Operations Fuel and purchased power 79,284 90,688 160,879 186,528 387,405 392,685 Other 104,653 105,475 225,872 225,378 446,029 418,225 -------- -------- -------- -------- ---------- ---------- 183,937 196,163 386,751 411,906 833,434 810,910 Maintenance 48,122 43,804 90,507 81,787 198,818 169,203 Depreciation and nuclear decommissioning 56,191 54,581 111,373 108,786 222,220 218,081 Amortization of phase-in plans deferred costs - - - - - 16,624 Income taxes 63,372 51,845 87,998 74,311 193,162 190,143 Other taxes (*) 53,516 50,518 102,258 98,038 211,133 204,840 -------- -------- -------- -------- ---------- ---------- Total operating expenses 405,138 396,911 778,887 774,828 1,658,767 1,609,801 -------- -------- -------- -------- ---------- ---------- Operating income 127,806 115,298 192,957 190,347 413,907 438,096 Other income and deductions: Allowance for equity funds used during construction 1,483 1,479 3,136 2,878 6,676 5,139 Miscellaneous, net 462 1,483 3,099 1,739 5,278 17,585 -------- -------- -------- -------- ---------- ---------- Total other income and deductions, net 1,945 2,962 6,235 4,617 11,954 22,724 -------- -------- -------- -------- ---------- ---------- Income before interest charges 129,751 118,260 199,192 194,964 425,861 460,820 Interest charges: Interest 33,717 32,721 66,101 66,524 129,177 130,892 Allowance for borrowed funds used during construction (1,358) (1,307) (2,527) (2,610) (5,043) (4,770) -------- -------- -------- -------- ---------- ---------- Net interest charges 32,359 31,414 63,574 63,914 124,134 126,122 -------- -------- -------- -------- ---------- ---------- Net income 97,392 86,846 135,618 131,050 301,727 334,698 Preferred stock dividends 3,314 3,445 6,627 7,126 13,587 14,155 -------- -------- -------- -------- ---------- ---------- Earnings on common stock $ 94,078 $ 83,401 $128,991 $123,924 $ 288,140 $ 320,543 ======== ======== ======== ======== ========== ========== Earnings per share of common stock (based on average shares outstanding) $ 0.92 $ 0.82 $ 1.26 $ 1.21 $ 2.82 $ 3.14 ======== ======== ======== ======== ========== ========== Dividends per share of common stock $ 0.595 $ 0.58 $ 1.19 $ 1.16 $ 2.365 $ 2.30 ======== ======== ======== ======== ========== ========== Average number of common shares outstanding (in thousands) 102,124 102,124 102,124 102,124 102,124 102,124 ======== ======== ======== ======== ========== ==========
(*) Includes license and franchise taxes of $24,992,000 and $23,740,000, respectively, for the three-month periods; $45,488,000 and $44,302,000, respectively, for the six-month periods; and $98,977,000 and $95,147,000, respectively, for the twelve-month periods ended June 30, 1994 and 1993. Page 4 UNION ELECTRIC COMPANY ---------------------- STATEMENT OF CASH FLOWS ----------------------- (UNAUDITED) (Thousands of Dollars)
Six Months Ended June 30, ------------------- 1994 1993 --------- --------- Cash Flows From Operating: Net income $ 135,618 $ 131,050 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 106,716 104,142 Amortization of nuclear fuel 21,873 29,760 Allowance for funds used during construction (5,663) (5,488) Postretirement benefit accrual 14,005 16,248 Deferred income taxes, net (5,417) 27,260 Deferred investment tax credits, net (3,093) (4,138) Changes in assets and liabilities: Receivables, net (48,439) (74,699) Materials and supplies (25,653) 35,454 Accounts and wages payable (68,668) (81,591) Taxes accrued 87,382 67,968 Interest and dividends accrued or declared 6,080 (3,029) Other, net 10,000 (16,999) --------- --------- Net cash provided by operating activities 224,741 225,938 Cash Flows From Investing: Construction expenditures (163,763) (132,001) Allowance for funds used during construction 5,663 5,488 Nuclear fuel expenditures (7,782) (26,085) --------- --------- Net cash used in investing activities (165,882) (152,598) Cash Flows From Financing: Dividends on preferred and common stock (128,154) (125,590) Environmental bond funds 6,562 47,500 Redemptions - Nuclear fuel lease (13,324) (28,138) Short-term debt (33,100) - Long-term debt (25,000) (529,500) Preferred stock (26) (32,313) Issuances - Nuclear fuel lease 33,061 23,697 Short-term debt - 48,000 Long-term debt 100,000 490,000 Preferred stock - 33,000 --------- --------- Net cash used in financing activities (59,981) (73,344) --------- --------- Net change in cash and cash equivalents (1,122) (4) Cash and cash equivalents at beginning of period 1,297 2,257 --------- --------- Cash and cash equivalents at end of period $ 175 $ 2,253 ========= ========= Supplemental disclosure of cash flow information: Cash and cash equivalents include cash on hand and temporary investments purchased with a maturity of three months or less Cash paid during the period: Interest (net of amount capitalized) $ 52,047 $ 62,594 Income taxes 56,345 27,150
Page 5 UNION ELECTRIC COMPANY ---------------------- NOTES TO FINANCIAL STATEMENTS (UNAUDITED) Note 1 - Financial statement note disclosures, normally included in financial statements prepared in conformity with generally accepted accounting principles, have been omitted in this Form 10-Q pursuant to the Rules and Regulations of the Securities and Exchange Commission. However, in the opinion of the registrant, the disclosures contained in this Form 10-Q are adequate to make the information presented not misleading. See Notes to Financial Statements included in the 1993 Annual Report on Form 10-K for information relevant to the financial statements contained in this Form 10-Q, including information as to the significant accounting policies of the registrant. Note 2 - In the opinion of the registrant the interim financial statements filed as part of this Form 10-Q reflect all adjustments, consisting only of normal recurring adjustments, necessary to a fair statement of the results for the periods presented. Note 3 - Due to the effect of weather on sales and other factors which are characteristic of public utility operations, financial results for the periods ended June 30, 1994 and 1993 are not necessarily indicative of trends for any twelve-month period. Note 4 - Electric rates charged to customers provide for recovery of Callaway Plant decommissioning costs over the life of the plant, based on an assumed 40-year life, ending with expiration of the plant's operating license in 2024. The Callaway site is assumed to be decommissioned using the DECON (immediate dismantlement) alternative. Decommissioning costs, including decontamination, dismantling and site restoration, are estimated to be $372 million in current year dollars and are expected to escalate 4.5% per year through the end of decommissioning activity in 2033. Decommissioning costs are charged to depreciation expense over Callaway's service life and amounted to $6.7 million in 1993 and $3.3 million in the first six months of 1994. Every three years, the Missouri Public Service Commission (MoPSC) requires the registrant to file updated cost studies for decommissioning Callaway and rates may be adjusted at such times to reflect changes in assumptions. The MoPSC has approved the costs currently being collected from customers and deposited in an external trust fund established to provide for Callaway's decommissioning. Fund earnings are expected to average 10.4% thru 2017 and 8.4% thereafter until 2033. If the assumed return on trust assets is not earned, the registrant believes it is probable that such earnings deficiency will be recovered in rates. Trust fund earnings, net of expenses appear on the balance sheet as increases in Nuclear decommissioning trust fund and in the Accumulated provision for nuclear decommissioning. Page 6 UNION ELECTRIC COMPANY ---------------------- MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE RESULTS OF OPERATIONS Second quarter 1994 common stock earnings were $94.1 million, an increase of $10.7 million from the second quarter of 1993. Earnings of 92 cents per share in the second quarter of 1994 were 10 cents higher than in the comparable 1993 period. Common stock earnings for the six months ended June 30, 1994 were $129.0 million, an increase of $5.1 million from the same period in 1993. Earnings of $1.26 per share during the six months ended June 30, 1994 were 5 cents higher than in the comparable 1993 period. Common stock earnings for the twelve months ended June 30, 1994 totaled $288.1 million, a $32.4 million decrease from the preceding twelve-month period. Earnings of $2.82 per share during the twelve months ended June 30, 1994 decreased 32 cents from the twelve months ended June 30, 1993. The increased earnings for the three and six months ended June 30, 1994 over the comparable 1993 periods, reflect higher electric revenues and lower electric fuel and purchased power costs. Partially offsetting these benefits were increased other operating expenses and higher taxes. The lower earnings for the twelve months ended June 30, 1994 versus the prior twelve-month period reflects registrant's $18 million net gain on the sale of its Iowa and northern Illinois electric properties in December, 1992, higher income taxes from increased federal and Missouri rates and greater operating expenses, partially offset by increased electric revenues, lower fuel prices and reduced interest expenses. The higher operating expenses are the result of a Callaway plant nuclear refueling in the Fall of 1993, expenses associated with the 1993 summer floods and accruing postretirement benefits costs beginning in January, 1993. The impact of the more significant items affecting revenues, costs and earnings during the three-month, six-month and twelve-month periods ended June 30, 1994 and 1993 is detailed below:
Electric Operating Revenues - --------------------------- (Millions of Dollars) Variations for periods ended June 30, 1994 from comparable prior periods ------------------------------------------ Three Months Six Months Twelve Months ------------ ---------- ------------- Rate variations.............. $ - $ - $(23.4) Effect of abnormal weather... 22.1 8.1 52.6 Growth and other............. 6.4 18.9 26.4 ----- ----- ------ $28.5 $27.0 $ 55.6 ----- ----- ------
Second quarter 1994 kilowatt-hour sales increased 6 percent from the same quarter of 1993, primarily due to hot June weather this year. Residential and commercial sales each increased almost 8 percent while less weather-sensitive industrial sales increased about 1 percent. Kilowatt-hour sales for the six months ended June 30, 1994 were 3 percent higher than the comparable 1993 period, primarily due to the warmer than normal weather in the second quarter; temperatures were greater than 90 degrees for 16 days in June 1994. Residential and commercial sales increased 3 percent and 5 percent, respectively, with industrial sales increasing 1 percent. Kilowatt-hour sales during the twelve months ended June 30, 1994 were up 3 percent from the twelve-month period ending June 30, 1993. Residential and commercial sales increased 7 percent and 4 percent, respectively, while sales to industrial customers decreased by 6 percent. Page 7 UNION ELECTRIC COMPANY ---------------------- MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE RESULTS OF OPERATIONS (Continued)
Operating Expenses - ------------------ (Millions of Dollars) Variations for periods ended June 30, 1994 from comparable prior periods ---------------------------------------------- Three Months Six Months Twelve Months ------------- ------------ ------------- Fuel: Variation in generation............................. $ (1.1) $ (1.6) $(40.2) Price............................................... (15.7) (31.1) (19.6) Amortization of uranium litigation settlement....... - - (.1) Generation efficiencies............................. (3.7) (2.9) (2.8) Department of Energy assessment..................... .5 .8 1.2 Net Interchange sales and purchased power variation.. 8.6 9.2 56.3 ------ ------ ------ $(11.4) $(25.6) $ (5.2) ------ ------ ------
The decreased fuel and purchased power costs during the three-month and six- month periods ended June 30, 1994 versus the comparable periods in 1993, reflect lower fuel prices, reduced fossil fuel generation and increased generating efficiencies partially offset by higher net purchased power costs. The decreased fuel costs for the twelve months ended June 30, 1994, versus the twelve months ended June 30, 1993, reflect reduced fossil-fueled generation caused by 1993 flood-interrupted coal deliveries and Callaway plant's nuclear refueling outage in the Fall of 1993, lower fuel prices and increased generating efficiencies partially offset by increased net purchased power costs. Other operating expense variations reflect recurring conditions such as growth, inflation and wage increases. During the three months ended June 30, 1994, versus the comparable 1993 period, operations expenses, other than fuel and purchased power, decreased $1 million, primarily due to lower employee welfare costs. Maintenance expenses during the same period increased $4 million, primarily reflecting increased expenses at our fossil-fueled power plants. During the six months ended June 30, 1994, versus the comparable 1993 period, operations expenses, other than fuel and purchased power, were essentially unchanged. Maintenance expenses during the same period were $9 million higher primarily due to increased power plant maintenance. For the twelve months ended June 30, 1994, versus the prior twelve-month period, operations expenses, other than fuel and purchased power, increased $28 million, primarily due to a $13 million increase in accruing employee postretirement benefit expenses, a $7 million increase in labor costs, and higher pension, professional service, regulatory fees, computer services and tree trimming costs. Maintenance expenses during the same period increased $30 million primarily due to the Callaway plant nuclear refueling outage in the Fall of 1993, flood-related expenses and increased power plant maintenance. Depreciation expense for the three-month, six-month and twelve-month periods ended June 30, 1994, versus the comparable 1993 periods increased $2 million, $3 million and $4 million, respectively, primarily due to increases in depreciable property. Elimination of the amortization of phase-in credits associated with the registrant's nuclear plant phase-in plan reduced operating expenses by $17 million for the twelve months ended June 30, 1994. Other taxes charged to operating expenses during the three-month, six-month and twelve-month periods ended June 30, 1994, versus the comparable prior periods, increased $3 million, $4 million, and $6 million, respectively, primarily due to increased real estate and gross receipts taxes. Page 8 UNION ELECTRIC COMPANY ---------------------- MANAGEMENT'S DISCUSSION AND ANALYSIS OF THE RESULTS OF OPERATIONS (Continued) Operating Expenses (Continued) - ------------------ Income taxes charged to operating expenses during the three and six months ended June 30, 1994, versus the comparable prior periods, increased $12 million and $14 million, respectively, primarily due to higher pre-tax income and increased federal and Missouri income tax rates. During the twelve months ended June 30, 1994, versus the twelve months ended June 30, 1993, income taxes increased $3 million primarily due to increased federal and Missouri income tax rates. Other Income and Deductions - --------------------------- Miscellaneous other net income and deductions decreased $12 million for the twelve months ended June 30, 1994, versus the twelve months ended June 30, 1993, reflecting the gain on the sale of the registrant's Iowa and northern Illinois electric distribution properties in December 1992, partially offset by lower miscellaneous income deductions. Interest - -------- During the three months ended June 30, 1994, versus the comparable 1993 period, interest increased $1 million primarily reflecting increased debt outstanding and higher interest rates on variable rate debt. During the twelve months ended June 30, 1994 versus the comparable prior year period, interest decreased $2 million, primarily reflecting the reduction of total debt outstanding. Allowance for Funds Used During Construction (AFC) - -------------------------------------------------- Variations in AFC track variations in construction work in progress and were not significant for the reporting periods. During the twelve-month periods ended June 30, 1994 and 1993, AFC rates averaged 8.5 percent and 7.0 percent, respectively. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION Liquidity and Capital Resources - ------------------------------- As required, on June 1, 1994, the registrant redeemed 260 shares of $6.30 Series preferred stock, stated value $100 per share. PART II. OTHER INFORMATION ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K -------------------------------- (a) Exhibits. Exhibit 12(a) - Computation of Ratio of Earnings to Fixed Charges, 12 Months Ended June 30, 1994. Exhibit 12(b) - Computation of Ratio of Earnings to Fixed Charges and Preferred Stock Dividend Requirements, 12 Months Ended June 30, 1994. (b) Reports on Form 8-K. None 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 thereunto duly authorized. UNION ELECTRIC COMPANY (Registrant) August 12, 1994 By /s/ Donald E. Brandt ------------------------------------ Donald E. Brandt Senior Vice President Finance and Corporate Services EX-12.A 2 EXHIBIT 12A EXHIBIT 12(a) UNION ELECTRIC COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
YEAR ENDED DECEMBER 31, ---------------------------------------------- 12 Months Ended June 30, 1989 1990 1991 1992 1993 1994 -------- -------- -------- -------- -------- --------- (Thousands of Dollars Except Ratios) Net Income for the Period.............. $285,605 $294,219 $321,512 $302,748 $297,160 $301,727 -------- -------- -------- -------- -------- -------- Add: Taxes Based on Income.................. 181,793 191,532 218,954 197,009 182,716 195,274 -------- -------- -------- -------- -------- -------- Fixed Charges: Interest on Debt..................... 172,288 183,215 163,061 125,798 124,430 123,686 Amortization of Premium and Discount, Less Expense, on Debt; and Bond Defeasance Cost............... 4,283 4,369 4,148 9,521 5,170 5,491 Rentals (See Note)................... 1,040 1,114 1,171 908 1,314 1,391 -------- -------- -------- -------- -------- -------- Total Fixed Charges............. 177,611 188,698 168,380 136,227 130,914 130,568 -------- -------- -------- -------- -------- -------- Earnings Available for Fixed Charges............................... $645,009 $674,449 $708,846 $635,984 $610,790 $627,569 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges............................... 3.63 3.57 4.21 4.66 4.66 4.8 ======== ======== ======== ======== ======== ========
Note: Represents the interest factor applicable to rentals. EX-12.B 3 EXHIBIT 12B EXHIBIT 12(b) PAGE 1 of 2 UNION ELECTRIC COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDEND REQUIREMENTS
YEAR ENDED DECEMBER 31, ------------------------------------------------ 12 MONTHS ENDED JUNE 30, 1989 1990 1991 1992 1993 1994 -------- -------- -------- -------- -------- --------- (Thousands of Dollars Except Ratios) Net income for the period................. $285,605 $294,219 $321,512 $302,748 $297,160 $301,727 Add: Taxes based on income................... 181,793 191,532 218,954 197,009 182,716 195,274 Fixed charges (see below)............... 177,611 188,698 168,380 136,227 130,914 130,568 -------- -------- -------- -------- -------- -------- Earnings available for fixed charges and preferred stock dividend requirements of Company......... $645,009 $674,449 $708,846 $635,984 $610,790 $627,569 ======== ======== ======== ======== ======== ======== Fixed charges: Interest on debt........................ $172,288 $183,215 $163,061 $125,798 $124,430 $123,686 Amortization of premium and discount, less expense, on debt; and bond defeasance cost................................... 4,283 4,369 4,148 9,521 5,170 5,491 Rentals (see note)...................... 1,040 1,114 1,171 908 1,314 1,391 -------- -------- -------- -------- -------- -------- Total fixed charges.................... $177,611 $188,698 $168,380 $136,227 $130,914 $130,568 Preferred stock dividend requirements of Company *(Adjusted for income tax effect).............................. 29,994 22,901 22,213 21,852 21,537 21,203 -------- -------- -------- -------- -------- -------- Total fixed charges and preferred stock dividend requirements.............. $207,605 $211,599 $190,593 $158,079 $152,451 $151,771 ======== ======== ======== ======== ======== ======== Ratio of earnings to fixed charges and preferred stock dividends............ 3.11 3.19 3.72 4.02 4.01 4.13 ======== ======== ======== ======== ======== ========
Note: Represents the interest factor applicable to rentals. * See following page for supporting computation. EXHIBIT 12(b) PAGE 2 of 2 UNION ELECTRIC COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDEND REQUIREMENTS
12 Months YEAR ENDED DECEMBER 31, Ended ------------------------------------------------ June 30, 1989 1990 1991 1992 1993 1994 -------- -------- -------- -------- -------- --------- (Thousands of Dollars Except Ratios) Computation of preferred stock dividend requirements of Company, adjusted for income tax effect* Preferred stock dividend require- ments of Company, as shown on statement of earnings................... $ 19,134 $ 14,693 $ 14,059 $ 14,058 $ 14,087 $ 13,587 Less deductible preferred stock dividends**.............................. 2,085 2,085 2,085 2,085 1,973 1,816 -------- -------- -------- -------- -------- -------- Non-deductible preferred stock dividends................................ $ 17,049 $ 12,608 $ 11,974 $ 11,973 $ 12,114 $ 11,771 ======== ======== ======== ======== ======== ======== Excess of net income before income taxes over net income (percentage) - See note below........................... 63.7% 65.1% 68.1% 65.1% 61.5% 64.7% -------- -------- -------- -------- -------- -------- Income tax effect on non-deductible preferred stock dividends*............... $ 10,860 $ 8,208 $ 8,154 $ 7,794 $ 7,450 $ 7,616 Add: Deductible preferred stock dividends (above)....................... 2,085 2,085 2,085 2,085 1,973 1,816 Non-deductible preferred stock dividends (above)....................... 17,049 12,608 11,974 11,973 12,114 11,771 -------- -------- -------- -------- -------- -------- Preferred stock dividend requirements of Company, adjusted for income tax effect............................... $ 29,994 $ 22,901 $ 22,213 $ 21,852 $ 21,537 $ 21,203 ======== ======== ======== ======== ======== ======== Note: Calculated as follows - Net income before income taxes.................................. $467,398 $485,751 $540,466 $499,757 $479,876 $497,001 Less net income......................... 285,605 294,219 321,512 302,748 297,160 301,727 -------- -------- -------- -------- -------- -------- Excess - Taxes based on income................................. $181,793 $191,532 $218,954 $197,009 $182,716 $195,274 ======== ======== ======== ======== ======== ======== - Percentage of net income............. 63.7% 65.1% 68.1% 65.1% 61.5% 64.7% ======== ======== ======== ======== ======== ========
* Income tax adjustment to reflect pre-tax earnings required to meet preferred stock dividend. ** Dividends deductible on federal income tax return. -----END PRIVACY-ENHANCED MESSAGE-----