EX-12 24 ex12-2oe.txt FIXED CHARGE RATIO - OE
EXHIBIT 12.2 Page 1 OHIO EDISON COMPANY CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES Year Ended December 31, ---------------------------------------------------------------- 1997 1998 1999 2000 2001 ---- ---- ---- ---- ---- (Dollars in Thousands) EARNINGS AS DEFINED IN REGULATION S-K: Income before extraordinary items....................... $293,194 $301,320 $297,689 $336,456 $350,212 Interest and other charges, before reduction for amounts capitalized................................... 250,920 235,317 225,358 211,364 187,890 Provision for income taxes.............................. 187,805 191,261 191,835 212,580 239,135 Interest element of rentals charged to income (a)....... 117,409 115,310 113,804 109,497 104,507 -------- --------- --------- --------- --------- Earnings as defined................................... $849,328 $843,208 $828,686 $869,897 $881,744 ======== ======== ======== ======== ======== FIXED CHARGES AS DEFINED IN REGULATION S-K: Interest on long-term debt.............................. $204,285 $184,915 $178,217 $165,409 $150,632 Other interest expense.................................. 31,209 34,976 31,971 31,451 22,754 Subsidiaries' preferred stock dividend requirements..... 15,426 15,426 15,170 14,504 14,504 Adjustments to subsidiaries' preferred stock dividends to state on a pre-income tax basis.................... 2,918 2,892 2,770 2,296 2,481 Interest element of rentals charged to income (a)....... 117,409 115,310 113,804 109,497 104,507 -------- --------- --------- --------- --------- Fixed charges as defined............................. $371,247 $353,519 $341,932 $323,157 $294,878 ======== ======== ======== ======== ======== CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES (b)............................................. 2.29 2.39 2.42 2.69 2.99 ==== ==== ==== ==== ==== ------------------------- (a) Includes the interest element of rentals where determinable plus 1/3 of rental expense where no readily defined interest element can be determined. (b) These ratios exclude fixed charges applicable to the guarantee of the debt of a coal supplier aggregating $3,828,000 and $2,209,000 for each of the two years ended December 31, 1998, respectively. The guarantee and related coal supply contract debt expired December 31, 1999.
EXHIBIT 12.2 Page 2 OHIO EDISON COMPANY CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES PLUS PREFERRED STOCK DIVIDEND REQUIREMENTS (PRE-INCOME TAX BASIS) Year Ended December 31, ---------------------------------------------------------------- 1997 1998 1999 2000 2001 ---- ---- ---- ---- ---- (Dollars in Thousands) EARNINGS AS DEFINED IN REGULATION S-K: Income before extraordinary items....................... $293,194 $301,320 $297,689 $336,456 $350,212 Interest and other charges, before reduction for amounts capitalized................................. 250,920 235,317 225,358 211,364 187,890 Provision for income taxes................................ 187,805 191,261 191,835 212,580 239,135 Interest element of rentals charged to income (a)......... 117,409 115,310 113,804 109,497 104,507 --------- -------- -------- -------- -------- Earnings as defined..................................... $849,328 $843,208 $828,686 $869,897 $881,744 ======== ======== ======== ======== ======== FIXED CHARGES AS DEFINED IN REGULATION S-K PLUS PREFERRED STOCK DIVIDEND REQUIREMENTS (PRE-INCOME TAX BASIS): Interest on long-term debt................................ $204,285 $184,915 $178,217 $165,409 $150,632 Other interest expense.................................... 31,209 34,976 31,971 31,451 22,754 Preferred stock dividend requirements..................... 27,817 27,395 26,717 25,628 25,206 Adjustments to preferred stock dividends to state on a pre-income tax basis...................... 10,503 10,140 9,859 8,976 9,412 Interest element of rentals charged to income (a)......... 117,409 115,310 113,804 109,497 104,507 --------- -------- -------- -------- --------- Fixed charges as defined plus preferred stock dividend requirements (pre-income tax basis).......... $391,223 $372,736 $360,568 $340,961 $312,511 ======== ======== ======== ======== ======== CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES PLUS PREFERRED STOCK DIVIDEND REQUIREMENTS (PRE-INCOME TAX BASIS) (b)................................ 2.17 2.26 2.30 2.55 2.82 ==== ==== ==== ==== ==== ------------------------- (a) Includes the interest element of rentals where determinable plus 1/3 of rental expense where no readily defined interest element can be determined. (b) These ratios exclude fixed charges applicable to the guarantee of the debt of a coal supplier aggregating $3,828,000 and $2,209,000 for each of the two years ended December 31, 1998, respectively. The guarantee and related coal supply contract debt expired December 31, 1999.