EX-12 5 c55441_ex12.htm

EXHIBIT 12

PUBLIC SERVICE ENTERPRISE GROUP INCORPORATED
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For the Nine
Months Ended
September 30,

 

For the Years Ended
December 31,

 

 

 

 

 

 

2008

 

2007

 

2007

 

2006

 

2005

 

2004

 

2003

 

 

 

 

 

 

(Millions, except ratios)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Earnings as Defined in Regulation S-K (A):

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-tax Income from Continuing Operations

 

$

1,526

 

$

1,848

 

$

2,379

 

$

1,139

 

$

1,386

 

$

1,220

 

$

1,256

 

(Income) Loss from Equity Investees, net of Distributions

 

 

(6

)

 

2

 

 

(10

)

 

(2

)

 

(37

)

 

78

 

 

79

 

Fixed Charges

 

 

488

 

 

586

 

 

782

 

 

851

 

 

888

 

 

894

 

 

953

 

Capitalized Interest (B)

 

 

(25

)

 

(23

)

 

(26

)

 

(33

)

 

(92

)

 

(109

)

 

(116

)

Preferred Securities Dividend Requirements of Subsidiaries

 

 

(5

)

 

(5

)

 

(6

)

 

(6

)

 

(6

)

 

(6

)

 

(6

)

 

 

 

Total Earnings

 

$

1,978

 

$

2,408

 

$

3,119

 

$

1,949

 

$

2,139

 

$

2,077

 

$

2,166

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed Charges as Defined in Regulation S-K (C)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest Expense

 

$

473

 

$

572

 

$

765

 

$

834

 

$

872

 

$

879

 

$

939

 

Interest Factor in Rentals

 

 

10

 

 

9

 

 

11

 

 

11

 

 

10

 

 

9

 

 

8

 

Preferred Securities Dividend Requirements of Subsidiaries

 

 

5

 

 

5

 

 

6

 

 

6

 

 

6

 

 

6

 

 

6

 

 

 

 

Total Fixed Charges

 

$

488

 

$

586

 

$

782

 

$

851

 

$

888

 

$

894

 

$

953

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of Earnings to Fixed Charges

 

 

4.05

 

 

4.11

 

 

3.99

 

 

2.29

 

 

2.41

 

 

2.32

 

 

2.27

 

 

 

 

 

 

(A)

The term “earnings” shall be defined as pre-tax Income from Continuing Operations before income or loss from equity investees plus distributed income from equity investees. Add to pre-tax income the amount of fixed charges adjusted to exclude (a) the amount of any interest capitalized during the period and (b) the actual amount of any preferred securities dividend requirements of majority-owned subsidiaries stated on a pre-tax level.

 

 

(B)

Fixed Charges represent (a) interest, whether expensed or capitalized, (b) amortization of debt discount, premium and expense, (c) an estimate of interest implicit in rentals and (d) preferred securities dividend requirements of majority-owned subsidiaries stated on a pre-tax level.

 

 

(C)

Capitalized Interest excludes AFUDC for PSE&G.