EX-12.C 5 ppl10qexhibit12c.htm EXHIBIT 12(C) ppl10qexhibit12c.htm
Exhibit 12(c)
PPL ELECTRIC UTILITIES CORPORATION AND SUBSIDIARIES
 
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS
(Millions of Dollars)
 
   
3 Months
Ended
March 31,
  
12 Months Ended December 31,
   
2008
  
2007
  
2006
  
2005
  
2004
  
2003
Earnings, as defined:
                                                
Net income
  
$
56
    
$
163
    
$
194
    
$
147
    
$
76
    
$
28
  
Income taxes
    
31
      
83
      
104
      
69
      
8
      
18
  
Total fixed charges as below
  (excluding capitalized interest and
  preferred security distributions of
  subsidiaries on a pre-tax basis)
    
31
      
140
      
158
      
190
      
197
      
219
  
                                                 
Total earnings
  
$
118
    
$
386
    
$
456
    
$
406
    
$
281
    
$
265
  
                                                 
Fixed charges, as defined:
                                                
Interest on long-term debt
  
$
24
    
$
109
    
$
131
    
$
151
    
$
176
    
$
201
  
Interest on short-term debt and
  other interest
    
4
      
23
      
13
      
22
      
7
      
3
  
Amortization of debt discount,
  expense and premium - net
    
2
      
7
      
8
      
9
      
7
      
8
  
Estimated interest component of
  operating rentals
            
4
      
7
      
8
      
8
      
7
  
                                                 
Total fixed charges (a)
  
$
30
    
$
143
    
$
159
    
$
190
    
$
198
    
$
219
  
                                                 
Ratio of earnings to fixed charges
    
3.9
      
2.7
      
2.9
      
2.1
      
1.4
      
1.2
  
                                                 
Preferred stock dividend requirements on a
  pre-tax basis
  
$
7
    
$
27
    
$
24
    
$
4
    
$
4
    
$
5
  
Fixed charges, as above
    
30
      
143
      
159
      
190
      
198
      
219
  
Total fixed charges and preferred
stock dividends
  
$
37
    
$
170
    
$
183
    
$
194
    
$
202
    
$
224
  
Ratio of earnings to combined fixed
  charges and preferred stock dividends
    
3.2
      
2.3
      
2.5
      
2.1
      
1.4
      
1.2
  

(a)
  
Interest on unrecognized tax benefits is not included in fixed charges.