EX-12 17 0017.txt COMPUTATION OF RATIOS Exhibit 12-A Page 1 of 2 GPU, INC. AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands)
For the Years Ended December 31, -------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- --------- --------- OPERATING REVENUES $5,196,256 $4,757,124 $4,248,792 $4,143,379 $3,970,711 --------- --------- --------- ---------- --------- OPERATING EXPENSES 4,411,609 3,748,294 3,352,713 3,272,644 3,292,796 Interest portion of rentals (A) 23,439 34,171 30,594 26,108 26,093 Fixed charges of service company subsidiaries (B) 5,331 5,323 2,424 3,121 3,695 --------- --------- --------- ------- -------- Net expense 4,382,839 3,708,800 3,319,695 3,243,415 3,263,008 --------- --------- --------- --------- --------- OTHER INCOME AND DEDUCTIONS: Allowance for funds used during construction 3,253 4,329 5,264 5,583 10,672 Equity in undistributed earnings/(losses) of affiliates, net 28,456 89,746 72,012 (27,100) 33,981 Other income, net 149,635 85,616 48,366 5,585 23,490 Minority interest net income (2,871) (3,490) (2,171) (1,337) (2,701) --------- --------- --------- -------- --------- Total other income and deductions 178,473 176,201 123,471 (17,269) 65,442 --------- --------- --------- -------- -------- EARNINGS AVAILABLE FOR FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (excluding taxes based on income) $ 991,890 $1,224,525 $1,052,568 $882,695 $ 773,145 ======= ========= ========= ======= ========= FIXED CHARGES: Interest on funded indebtedness $ 515,026 $ 436,391 $ 346,513 $277,387 $ 216,352 Other interest (C) 36,176 44,320 38,248 38,039 59,398 Preferred stock dividends of subsidiaries on a pretax basis (E) 11,978 16,619 18,045 19,500 24,008 Interest portion of rentals (A) 23,439 34,171 30,594 26,108 26,093 --------- --------- --------- ------- --------- Total fixed charges $ 586,619 $ 531,501 $ 433,400 $361,034 $ 325,851 ========= ========= ========= ======= ========= RATIO OF EARNINGS TO FIXED CHARGES 1.69 2.30 2.43 2.44 2.37 ==== ==== ==== ==== ==== RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (D) 1.69 2.30 2.43 2.44 2.37 ==== ==== ==== ==== ====
Exhibit 12-A Page 2 of 2 GPU, INC. AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) Notes: (A) GPU has included the equivalent of the interest portion of all rentals charged to income as fixed charges for this statement and has excluded such components from operating expenses. (B) Represents fixed charges of GPU Service, Inc. and GPU Nuclear, Inc. which are accounted for as operating expenses in GPU's consolidated income statement. GPU has removed the fixed charges from operating expenses and included such amounts in fixed charges as interest on funded indebtedness and other interest for this statement. (C) Includes amount for subsidiary-obligated mandatorily redeemable preferred securities of $10,700, $24,627, $28,888, $28,888 and $28,888 for the years 2000, 1999, 1998, 1997 and 1996, respectively, and amount for subsidiary-obligated trust preferred securities of $13,690 and $8,345 for the years 2000 and 1999, respectively. (D) GPU, Inc., the parent holding company, does not have any preferred stock outstanding, therefore, the ratio of earnings to combined fixed charges and preferred stock dividends is the same as the ratio of earnings to fixed charges. (E) Calculation of preferred stock dividends of subsidiaries on a pretax basis is as follows:
For the Years Ended December 31, ---------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- --------- --------- Income before provision for income taxes and preferred stock dividends of subsidiaries and gain on preferred stock reacquisition $417,249 $709,643 $637,213 $541,161 $471,302 Income before extraordinary item in 1998 and preferred stock dividends of subsidiaries (incl. gain/ loss on preferred stock reacquisition) 240,442 470,020 397,124 347,625 304,583 Pretax earnings ratio 173.5% 151.0% 160.5% 155.7% 154.7% Preferred stock dividends of subsidiaries 6,904 11,006 11,243 12,524 15,519 Preferred stock dividends of subsidiaries on a pretax basis 11,978 16,619 18,045 19,500 24,008
Exhibit 12-B Page 1 of 2 JERSEY CENTRAL POWER & LIGHT COMPANY AND SUBSIDIARY COMPANY STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands)
For the Years Ended December 31, ----------------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- --------- ---------- OPERATING REVENUES $1,979,297 $2,018,209 $2,069,648 $2,093,972 $2,057,918 --------- --------- --------- --------- --------- OPERATING EXPENSES 1,572,051 1,652,420 1,607,589 1,658,382 1,729,532 Interest portion of rentals (A) 6,229 14,920 11,838 10,614 10,666 --------- --------- --------- --------- --------- Net expense 1,565,822 1,637,500 1,595,751 1,647,768 1,718,866 --------- --------- --------- --------- --------- OTHER INCOME AND DEDUCTIONS: Allowance for funds used during construction 2,006 1,775 2,424 2,319 6,647 Other income, net 27,234 12,461 13,227 1,919 7,202 --------- --------- --------- --------- --------- Total other income and deductions 29,240 14,236 15,651 4,238 13,849 --------- --------- --------- --------- --------- EARNINGS AVAILABLE FOR FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (excluding taxes based on income) $ 442,715 $ 394,945 $ 489,548 $ 450,442 $ 352,901 ========= ========= ========= ========= ========= FIXED CHARGES: Interest on funded indebtedness $ 93,888 $ 95,325 $ 95,361 $ 100,706 $ 89,648 Other interest (B) 11,911 11,350 14,829 14,992 21,847 Interest portion of rentals (A) 6,229 14,920 11,838 10,614 10,666 --------- --------- --------- --------- --------- Total fixed charges $ 112,028 $ 121,595 $ 122,028 $ 126,312 $ 122,161 ========= ========= ========= ========= ========= RATIO OF EARNINGS TO FIXED CHARGES 3.95 3.25 4.01 3.57 2.89 ==== ==== ==== ==== ==== Preferred stock dividend requirement 6,904 8,670 10,065 11,376 13,072 Ratio of income before provision for income taxes to net income (C) 156.9% 158.6% 165.2% 152.9% 147.6% Preferred stock dividend requirement on a pretax basis 10,832 13,751 16,627 17,394 19,294 Fixed charges, as above 112,028 121,595 122,028 126,312 122,161 --------- --------- --------- --------- --------- Total fixed charges and preferred stock dividends $ 122,860 $ 135,346 $ 138,655 $ 143,706 $ 141,455 ========= ========= ========= ========= ========= RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 3.60 2.92 3.53 3.13 2.50 ==== ==== ==== ==== ====
Exhibit 12-B Page 2 of 2 JERSEY CENTRAL POWER & LIGHT COMPANY AND SUBSIDIARY COMPANY STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) Notes: (A) JCP&L has included the equivalent of the interest portion of all rentals charged to income as fixed charges for this statement and has excluded such components from Operating Expenses. (B) Includes amount for company-obligated mandatorily redeemable preferred securities of $10,700, $10,700, $10,700, $10,700 and $10,700 for the years 2000, 1999, 1998, 1997 and 1996, respectively. (C) Represents income before provision for income taxes divided by net income as follows:
For the Years Ended December 31, ----------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- ---------- ---------- Income before provision for income taxes $330,687 $273,350 $367,520 $324,130 $230,740 Net income 210,812 172,380 222,442 212,014 156,303
Exhibit 12-C Page 1 of 2 METROPOLITAN EDISON COMPANY AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands)
For the Years Ended December 31, ------------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- --------- --------- OPERATING REVENUES $842,333 $902,827 $919,594 $943,109 $910,408 ------- ------- ------- ------- OPERATING EXPENSES 673,844 689,579 752,168 728,644 733,664 Interest portion of rentals (A) 1,543 4,381 9,784 6,151 5,367 ------- ------- ------- ------- ------- Net expense 672,301 685,198 742,384 722,493 728,297 ------- ------- ------- ------- ------- OTHER INCOME AND DEDUCTIONS: Allowance for funds used during construction 505 1,212 943 1,100 1,245 Other income/ (expense), net 12,169 3,901 (13,539) 3,371 1,220 ------- ----- ------- ------- ------- Total other income and deductions 12,674 5,113 (12,596) 4,471 2,465 ------- ----- ------- ------- ------- EARNINGS AVAILABLE FOR FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (excluding taxes based on income) $182,706 $222,742 $164,614 $225,087 $184,576 ======= ======= ======= ======= ======= FIXED CHARGES: Interest on funded indebtedness $ 45,866 $ 45,996 $ 47,557 $ 48,789 $ 45,373 Other interest (B) 9,314 15,846 12,130 10,861 14,436 Interest portion of rentals (A) 1,543 4,381 9,784 6,151 5,367 ------- ------- ------- ------- ------- Total fixed charges $ 56,723 $ 66,223 $ 69,471 $ 65,801 65,176 ======= ======= ======= ======= ======= RATIO OF EARNINGS TO FIXED CHARGES 3.22 3.36 2.37 3.42 2.83 ==== ==== ==== ==== ==== Preferred stock dividend requirement - 66 483 483 944 Ratio of income before provision for income taxes to net income (C) 153.8% 164.5% 164.8% 170.3% 172.9% Preferred stock dividend requirement on a pretax basis - 109 796 823 1,632 Fixed charges, as above 56,723 66,223 69,471 65,801 65,176 ------- ------- ------- ------- ------- Total fixed charges and preferred stock dividends $ 56,723 $ 66,332 $ 70,267 $ 66,624 $ 66,808 ======= ======= ======= ======= ======= RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 3.22 3.36 2.34 3.38 2.76 ==== ==== ==== ==== ====
Exhibit 12-C Page 2 of 2 METROPOLITAN EDISON COMPANY AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) Notes: (A) Met-Ed has included the equivalent of the interest portion of all rentals charged to income as fixed charges for this statement and has excluded such components from Operating Expenses. (B) Includes amount for company-obligated mandatorily redeemable preferred securities of $8,950, $9,000, $9,000 and $9,000 for the years 1999, 1998, 1997 and 1996, respectively, and amount for company-obligated trust preferred securities of $6,656 and $4,369 for the years 2000 and 1999, respectively. (C) Represents income before provision for income taxes divided by income before extraordinary item/net income as follows:
For the Years Ended December 31, ----------------------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- ---------- ---------- Income before provision for income taxes $125,983 $156,519 $ 95,143 $159,286 $119,400 Income before extraordinary item/Net income 81,895 95,123 57,720 93,517 69,067
Exhibit 12-D Page 1 of 2 PENNSYLVANIA ELECTRIC COMPANY AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands)
For the Years Ended December 31, ------------------------------------------------------------------ 2000 1999 1998 1997 1996 ---------- ---------- ---------- ---------- ---------- OPERATING REVENUES $ 901,881 $ 921,965 $1,032,226 $1,052,936 $1,019,645 --------- --------- --------- --------- --------- OPERATING EXPENSES 796,210 730,365 861,453 824,596 840,288 Interest portion of rentals (A) 3,020 4,306 4,970 4,236 4,490 --------- --------- --------- --------- --------- Net expense 793,190 726,059 856,483 820,360 835,798 --------- --------- --------- --------- --------- OTHER INCOME AND DEDUCTIONS: Allowance for funds used during construction 742 1,342 1,897 2,164 2,780 Other income/ (expense), net 11,135 59,081 (6,429) 2,469 (825) --------- --------- --------- --------- --------- Total other income and deductions 11,877 60,423 (4,532) 4,633 1,955 --------- --------- --------- --------- --------- EARNINGS AVAILABLE FOR FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (excluding taxes based on income) $ 120,568 $ 256,329 $ 171,211 $ 237,209 $ 185,802 ========= ========= ========= ========= ========= FIXED CHARGES: Interest on funded indebtedness $ 36,839 $ 34,588 $ 54,907 $ 56,095 $ 49,654 Other interest (B) 11,705 10,561 10,207 10,556 16,300 Interest portion of rentals (A) 3,020 4,306 4,970 4,236 4,490 --------- --------- --------- --------- --------- Total fixed charges $ 51,564 $ 49,455 $ 70,084 $ 70,887 $ 70,444 ========= ========= ========= ========= ========= RATIO OF EARNINGS TO FIXED CHARGES 2.34 5.18 2.44 3.35 2.64 ==== ==== ==== ==== ==== Preferred stock dividend requirement - 154 695 665 1,503 Ratio of income before provision for income taxes to net income (C) 175.8% 135.7% 172.6% 175.0% 165.2% Preferred stock dividend requirement on a pretax basis - 209 1,200 1,164 2,483 Fixed charges, as above 51,564 49,455 70,084 70,887 70,444 --------- --------- --------- --------- ---------- Total fixed charges and preferred stock dividends $ 51,564 $ 49,664 $ 71,284 $ 72,051 $ 72,927 ========= ========= ========= ========= ========== RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 2.34 5.16 2.40 3.29 2.55 ==== ==== ==== ==== ====
Exhibit 12-D Page 2 of 2 PENNSYLVANIA ELECTRIC COMPANY AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) Notes: (A) Penelec has included the equivalent of the interest portion of all rentals charged to income as fixed charges for this statement and has excluded such components from Operating Expenses. (B) Includes amount for company-obligated mandatorily redeemable preferred securities of $4,977, $9,188, $9,188 and $9,188 for the years 1999, 1998, 1997 and 1996, respectively, and amount for company-obligated trust preferred securities of $7,034 and $3,976 for the years 2000 and 1999, respectively. (C) Represents income before provision for income taxes divided by income before extraordinary item/net income as follows:
For the Years Ended December 31, -------------------------------------------------- 2000 1999 1998 1997 1996 ---------- ---------- ---------- ---------- --------- Income before provision for income taxes $ 69,004 $206,874 $101,127 $166,322 $115,358 Income before extraordinary item/Net income 39,250 152,491 58,590 95,023 69,809