EX-12 16 ppl10k_2003-exhibit12c.htm Exhibit 12(c)

Exhibit 12(c)

PPL ELECTRIC UTILITIES CORPORATION AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)
 
   

2003 (b)

    

2002 (b)

   

2001 (b)

   

2000 (b)

    

1999

  
   

   

   

   

   

 

Fixed charges, as defined:

                                        
 

Interest on long-term debt

  

$

201

    

$

209

    

$

220

    

$

223

    

$

205

  
 

Interest on short-term debt and
  other interest

    

3

      

3

      

4

      

16

      

12

  
 

Amortization of debt discount,
  expense and premium - net

    

8

      

7

      

6

      

4

      

3

  
 

Interest on capital lease obligations

                                        
   

Charged to expense

                            

4

      

9

  
   

Capitalized

                                    

1

  
 

Estimated interest component of
  operating rentals

    

7

      

7

      

8

      

14

      

19

  
 

Preferred security distributions of
  subsidiaries on a pre-tax basis

            

13

      

23

      

23

      

23

  
           

   

   

   

   

 
       

Total fixed charges

  

$

219

    

$

239

    

$

261

    

$

284

    

$

272

  
           

   

   

   

   

 

Earnings, as defined:

                                        
 

Net income (a)

  

$

25

    

$

39

    

$

114

    

$

250

    

$

444

  
 

Preferred security dividend
  requirements

    

3

      

16

      

26

      

26

      

37

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 
     

28

      

55

      

140

      

276

      

481

  

Add:

                                        
 

Income taxes

    

18

      

18

      

65

      

171

      

151

  
 

Amortization of capitalized interest
  on capital leases

                            

2

      

2

  
 

Total fixed charges as above
  (excluding capitalized interest,
  capitalized interest on capital lease
  obligations and preferred security
  distributions of subsidiaries on a
  pre-tax basis)

    

219

      

225

      

238

      

257

      

243

  
           

   

   

   

   

 
       

Total earnings

  

$

265

    

$

298

    

$

443

    

$

706

    

$

877

  
           

   

   

   

   

 

Ratio of earnings to fixed charges

    

1.2

      

1.2

      

1.7

      

2.5

      

3.2

  
           

   

   

   

   

 

(a)

  

Net income excludes extraordinary item and the cumulative effect of a change in accounting principle.

(b)

  

Due to the corporate realignment on July 1, 2000, data in 2000 and subsequent years are not comparable to 1999.