exhibit12b.htm

Exhibit 12(b)
PPL ENERGY SUPPLY, LLC AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Millions of Dollars)

	9 Months Ended September 30,		12 Months Ended December 31,
	2008		2007			2006		2005		2004			2003
Earnings, as defined:
Income from Continuing Operations Before Income Taxes and Minority Interest	$	740	$	1,118		$	866	$	649	$	851		$	967
Less undistributed income of equity method investments		3		5			7		7		5			7
Distributed income from equity method investments		3		7			3		5		5			7
		740		1,120			862		647		851			967
Total fixed charges as below		293		388			326		307		289			244
Less:
Capitalized interest		45		54			21		7		5			7
Preferred security distributions														8
Interest expense related to discontinued operations				27			29		28		22			20
Total fixed charges included in Income from Continuing Operations Before Income Taxes and Minority Interest		248		307			276		272		262			209

Total earnings	$	988	$	1,427		$	1,138	$	919	$	1,113		$	1,176

Fixed charges, as defined:
Interest on long-term debt	$	262	$	353		$	296	$	259	$	255		$	149
Interest on short-term debt and other interest		18		24			16		26		23			25
Amortization of debt discount, expense and premium - net		1		(3	)		(1)		7		(6	)		31
Estimated interest component of operating rentals		11		14			15		15		17			31
Preferred securities distributions of subsidiaries on a pre-tax basis														8
Fixed charges of majority-owned share of 50% or less-owned persons		1

Total fixed charges (a)	$	293	$	388		$	326	$	307	$	289		$	244

Ratio of earnings to fixed charges		3.4		3.7			3.5		3.0		3.9			4.8