EX-12 3 sdgecoverageratios901.txt EXHIBIT 12.1 COVERAGE RATIOS EXHIBIT 12.1 SAN DIEGO GAS & ELECTRIC COMPANY COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Dollars in millions)
For the nine months ended September 30, 1996 1997 1998 1999 2000 2001 -------- -------- -------- -------- -------- -------- Fixed Charges and Preferred Stock Dividends: Interest: Long-Term Debt $ 76 $ 69 $ 55 $ 49 $50 $42 Rate Reduction Bonds -- -- 41 35 33 21 Short-Term Debt & Other 13 14 14 40 31 6 Amortization of Debt Discount and Expense, Less Premium 5 5 8 7 5 4 Interest Portion of Annual Rentals 8 10 7 5 3 3 -------- -------- -------- -------- -------- -------- Total Fixed Charges 102 98 125 136 122 76 -------- -------- -------- -------- -------- -------- Preferred Dividends for Purpose of Ratio (1) 13 13 11 10 13 10 -------- -------- -------- -------- -------- -------- Total Fixed Charges and Preferred Stock Dividends For Purpose of Ratio $115 $111 $136 $146 $135 $86 ======== ======== ======== ======== ======== ======== Earnings: Pretax income from continuing operations $420 $457 $332 $325 $295 $267 Add: Fixed charges (from above) 102 98 125 136 122 76 Less: Fixed charges capitalized 1 2 1 1 3 - -------- -------- -------- -------- -------- -------- Total Earnings for Purpose of Ratio $521 $553 $456 $460 $414 $343 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends 4.54 5.00 3.36 3.15 3.07 3.99 ======== ======== ======== ======== ======== ======== (1) In computing this ratio, "Preferred dividends" represents the before-tax earnings necessary to pay such dividends, computed at the effective tax rates for the applicable periods.