EX-12 2 ex12aep1q.htm COMPUTATION OF RATIOS - AEP Unassociated Document
EXHIBIT 12
 
 
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIAIRIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in millions except ratio data)
 
              Twelve     Three  
              Months     Months   
   
Years Ended December 31,
   Ended     Ended  
   
2009
  
2010
    2011      2012     2013   3/31/2014   3/31/2014  
EARNINGS
                                           
Income Before Income Tax Expense and Equity Earnings
  
$
1,938
  
$
1,849
  
$
2,367
   $ 
1,822
   $  2,110   $  2,415   $  850  
Fixed Charges (as below)
    
1,237
    
1,254
    
1,209
    
1,257
     1,136     1,125     278  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      (4 )     (4 )    (8 )   
-
     -     -     -  
Total Earnings
  
$
3,171
   $
3,099
  
$
3,568
   $ 
3,079
   $  3,246   $  3,540   $  1,128  
                                             
FIXED CHARGES
                                            
Interest Expense
  
$
973
   $ 999  
$
 933   $  988   $  906   $  894   $  220  
Credit for Allowance for Borrowed Funds Used
   During Construction
    
67
     53     63     69      40     41     10  
Estimated Interest Element in Lease Rentals     193     198     205     200      190     190     48  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      4      4      8     -      -     -     -  
Total Fixed Charges
  
$
1,237
   $
1,254
  
$
1,209
   $  1,257   $   1,136   $  1,125   $  278  
                                             
Ratio of Earnings to Fixed Charges
    
2.56
    
2.47
    
2.95
     2.44      2.85     3.14     4.05