EX-12.6 29 ex12_6.htm FIXED CHARGE RATIO - MET-ED Unassociated Document
                       
 EXHIBIT 12.6
  
                       
 Page 1
  
METROPOLITAN EDISON COMPANY          
  
                            
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES          
  
                            
   
Year Ended December 31,
  
   
 2002
  
 2003
  
 2004
  
 2005
  
 2006(b)
  
   
(Dollars in thousands)
  
EARNINGS AS DEFINED IN REGULATION S-K:
                           
Income before extraordinary items
 
$
63,224
 
$
60,953
 
$
66,955
 
$
45,919
 
$
(240,195
)
Interest and other charges, before reduction for amounts capitalized
    
50,969
   
46,277
   
45,057
   
44,655
   
47,385
 
Provision for income taxes
    
44,372
   
44,006
   
38,217
   
30,084
   
77,326
 
Interest element of rentals charged to income (a)
    
515
   
437
   
1,401
   
1,597
   
1,616
 
                                 
Earnings as defined
  
$
159,080
 
$
151,673
 
$
151,630
 
$
122,255
 
$
(113,868
)
                                 
FIXED CHARGES AS DEFINED IN REGULATION S-K:
                                
Interest on long-term debt
  
$
40,774
 
$
36,657
 
$
40,630
 
$
36,804
 
$
33,314
 
Other interest expense
    
2,636
   
5,841
   
4,427
   
7,851
   
14,071
 
Subsidiary's preferred stock dividend requirements
    
7,559
   
3,779
   
-
   
-
   
-
 
Interest element of rentals charged to income (a)
    
515
   
437
   
1,401
   
1,597
   
1,616
 
                                 
Fixed charges as defined
  
$
51,484
 
$
46,714
 
$
46,458
 
$
46,252
 
$
49,001
 
                                 
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES
   
3.09
    
3.25
    
3.26
    
2.64
    
(2.32
)
                                 
                                 
                                 
 
                                
                                 
(a)  Includes the interest element of rentals where determinable plus 1/3 of rental expense where no readily defined interest element can be determined.
  
   
(b)  The earnings as defined in 2006 would need to increase $162,869,000 for the fixed charge ratios to be 1.0.
  
 
 
 

                        EXHIBIT 12.6   
                        Page 2   
METROPOLITAN EDISON COMPANY          
  
                            
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES PLUS          
  
PREFERRED STOCK DIVIDEND REQUIREMENTS (PRE-INCOME TAX BASIS)          
  
                            
   
Year Ended December 31,
  
   
 2002
  
 2003
  
 2004
  
 2005
  
 2006(b)
  
   
(Dollars in thousands)
  
EARNINGS AS DEFINED IN REGULATION S-K:
                           
Income before extraordinary items
 
$
63,224
 
$
60,953
 
$
66,955
 
$
45,919
 
$
(240,195
)
Interest and other charges, before reduction for amounts capitalized
    
50,969
   
46,277
   
45,057
   
44,655
   
47,385
 
Provision for income taxes
    
44,372
   
44,006
   
38,217
   
30,084
   
77,326
 
Interest element of rentals charged to income (a)
    
515
   
437
   
1,401
   
1,597
   
1,616
 
                                 
Earnings as defined
  
$
159,080
 
$
151,673
 
$
151,630
 
$
122,255
 
$
(113,868
)
                                 
FIXED CHARGES AS DEFINED IN REGULATION S-K PLUS
                                
PREFERRED STOCK DIVIDEND REQUIREMENTS
                                
(PRE-INCOME TAX BASIS):
                                
Interest on long-term debt
  
$
40,774
 
$
36,657
 
$
40,630
 
$
36,804
 
$
33,314
 
Other interest expense
    
2,636
   
5,841
   
4,427
   
7,851
   
14,071
 
Preferred stock dividend requirements
    
7,559
   
3,779
   
-
   
-
   
-
 
Adjustments to preferred stock dividends
                                
to state on a pre-income tax basis
    
-
   
-
   
-
   
-
   
-
 
Interest element of rentals charged to income (a)
    
515
   
437
   
1,401
   
1,597
   
1,616
 
                                 
Fixed charges as defined plus preferred stock
                                
dividend requirements (pre-income tax basis)
  
$
51,484
 
$
46,714
 
$
46,458
 
$
46,252
 
$
49,001
 
                                 
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES
                                
PLUS PREFERRED STOCK DIVIDEND REQUIREMENTS
                                
(PRE-INCOME TAX BASIS)
    
3.09
    
3.25
    
3.26
    
2.64
    
(2.32
)
                                 
                                 
 
                                
                                 
(a)  Includes the interest element of rentals where determinable plus 1/3 of rental expense where no readily defined interest element can be determined.
  
   
(b)  The earnings as defined in 2006 would need to increase $162,869,000 for the fixed charge ratios to be 1.0.