EX-12.C 12 form10k2008exhibit12c.htm EXHIBIT 12(C) form10k2008exhibit12c.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)
 
   
2008
  
2007
  
2006
  
2005
  
2004
                               
Earnings, as defined:
                                        
Income Before Income Taxes
  
$
278
    
$
246
    
$
298
    
$
216
    
$
84
  
                                         
Total fixed charges as below
    
114
      
143
      
159
      
190
      
198
  
Less capitalized interest
    
2
      
3
      
1
              
1
  
Total fixed charges included in Income
  Before Income Taxes
    
112
      
140
      
158
      
190
      
197
  
                                         
Total earnings
  
$
390
    
$
386
    
$
456
    
$
406
    
$
281
  
                                         
Fixed charges, as defined:
                                        
Interest on long-term debt
  
$
94
    
$
109
    
$
131
    
$
151
    
$
176
  
Interest on short-term debt and
  other interest
    
13
      
23
      
13
      
22
      
7
  
Amortization of debt discount,
  expense and premium - net
    
6
      
7
      
8
      
9
      
7
  
Estimated interest component of
  operating rentals
    
1
      
4
      
7
      
8
      
8
  
                                         
Total fixed charges (a)
  
$
114
    
$
143
    
$
159
    
$
190
    
$
198
  
                                         
Ratio of earnings to fixed charges
    
3.4
      
2.7
      
2.9
      
2.1
      
1.4
  
                                         
Preferred stock dividend requirements
  on a pre-tax basis
  
$
28
    
$
27
    
$
24
    
$
4
    
$
4
  
Fixed charges, as above
    
114
      
143
      
159
      
190
      
198
  
Total fixed charges and preferred
stock dividends
  
$
142
    
$
170
    
$
183
    
$
194
    
$
202
  
Ratio of earnings to combined fixed charges
  and preferred stock dividends
    
2.7
      
2.3
      
2.5
      
2.1
      
1.4
  

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