EX-12 8 ex12aep20174q.htm COMPUTATION OF RATIOS - AEP Exhibit


EXHIBIT 12
 
 
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIARIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in millions except ratio data)
 
 
Years Ended December 31,
 
 
2013
 
2014
 
2015
 
2016
 
2017
EARNINGS
 
 

 
 

 
 

 
 

 
 

Income From Continuing Operations Before Income Tax Expense and Equity Earnings
 
$
2,093.3

 
$
2,402.9

 
$
2,622.9

 
$
475.6

 
$
2,816.2

Income Distributed from Equity Method Investment
 
—

 
22.6

 
18.0

 
27.1

 
93.3

Fixed Charges (as below)
 
1,135.4

 
1,104.7

 
1,099.3

 
1,040.3

 
1,052.9

Total Earnings
 
$
3,228.7

 
$
3,530.2

 
$
3,740.2

 
$
1,543.0

 
$
3,962.4

 
 
 
 
 
 
 
 
 
 
 
FIXED CHARGES
 
 

 
 
 
 
 
 
 
 
Interest Expense
 
$
905.6

 
$
885.1

 
$
890.9

 
$
877.2

 
$
895.0

Credit for Allowance for Borrowed Funds Used
   During Construction
 
39.8

 
44.5

 
61.3

 
51.7

 
48.6

Estimated Interest Element in Lease Rentals
 
190.0

 
175.1

 
147.1

 
111.4

 
109.3

Total Fixed Charges
 
$
1,135.4

 
$
1,104.7

 
$
1,099.3

 
$
1,040.3

 
$
1,052.9

 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges
 
2.84

 
3.19

 
3.40

 
1.48

 
3.76