EX-12.A 6 exhibit12-a.htm EXHIBIT 12(A) exhibit12-a.htm

EXHIBIT 12 (A)
SIERRA PACIFIC RESOURCES
RATIOS OF EARNINGS TO FIXED CHARGES
(Dollars in Thousands)

     
Year Ended December 31,
     
2007
    
2006
    
2005
    
2004
    
2003
                               
EARNINGS AS DEFINED:
                            
 
Income (Loss) From Continuing Operations
                            
 
After Interest Charges
   $
197,295
     $
279,792
     $
86,137
     $
30,842
     $ (117,286 )
 
Income Taxes
    
87,555
      
145,605
      
43,118
      
18,050
       (51,275 )
 
Income (Loss) From Continuing Operations
                                    
 
before Income Taxes
    
284,850
      
425,397
      
129,255
      
48,892
       (168,561 )
                                       
 
Fixed Charges
    
310,876
      
336,024
      
319,654
      
324,969
      
384,565
  
 
Capitalized Interest (allowance for borrowed funds used during construction)
     (25,967 )     (17,119 )     (24,691 )     (8,587 )     (5,976 )
 
Preferred Stock Dividend Requirement
    
-
       (3,602 )     (6,000 )     (6,000 )     (6,000 )
                                       
 
Total
   $
569,759
     $
740,700
     $
418,218
     $
359,274
     $
204,028
  
                                       
FIXED CHARGES AS DEFINED:
                                    
 
Interest Expensed and Capitalized (1)
 
   $
310,876
     $
332,422
     $
313,654
     $
318,969
     $
378,565
  
 
Preferred Stock Dividend Requirement
    
-
      
3,602
      
6,000
      
6,000
      
6,000
  
                                       
 
Total
    
310,876
      
336,024
      
319,654
     $
324,969
     $
384,565
  
                                       
RATIO OF EARNINGS TO FIXED CHARGES
    
1.83
      
2.20
      
1.31
      
1.11
      
                                       
 
DEFICIENCY
   $
-
     $
-
     $
-
     $
-
     $
180,537
  
                                       
(1)
Includes amortization of premiums, discounts, and capitalized debt expense and interest component of rent expense.
            


For the purpose of calculating the ratios of earnings to fixed charges, “Fixed charges” represent the aggregate of interest charges on short-term and long-term debt (whether expensed or capitalized), the portion of rental expense deemed to be attributable to interest, and the pre-tax preferred stock dividend requirement of SPPC.  “Earnings” represents pre-tax income (or Loss) from continuing operations before pre-tax preferred stock dividend requirement of SPPC and fixed charges (excluding capitalized interest).