EX-12 28 ppl10k_2004-exhibit12c.htm Exhibit 12(c)

Exhibit 12(c)

PPL ELECTRIC UTILITIES CORPORATION AND SUBSIDIARIES

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Millions of Dollars)

 
   

2004

   

2003

   

2002

   

2001

   

2000

 
   

   

   

   

   

 

Fixed charges, as defined:

                                       
 

Interest on long-term debt

 

$

176

   

$

201

   

$

209

   

$

220

   

$

223

 
 

Interest on short-term debt and
  other interest

   

7

     

3

     

3

     

4

     

16

 
 

Amortization of debt discount,
  expense and premium - net

   

7

     

8

     

7

     

6

     

4

 
 

Interest on capital lease obligations
  charged to expense

                                   

4

 
 

Estimated interest component of
  operating rentals

   

8

     

7

     

7

     

8

     

14

 
 

Preferred security distributions of
  subsidiaries on a pre-tax basis

                   

13

     

23

     

23

 
           

   

   

   

   

 
       

Total fixed charges

 

$

198

   

$

219

   

$

239

   

$

261

   

$

284

 
           

   

   

   

   

 

Earnings, as defined:

                                       
 

Net income (a)

 

$

74

   

$

25

   

$

39

   

$

114

   

$

250

 
 

Preferred security dividend
  requirements

   

2

     

3

     

16

     

26

     

26

 

     

76

     

28

     

55

     

140

     

276

 

Add:

                                       
 

Income taxes

   

8

     

18

     

18

     

65

     

171

 
 

Amortization of capitalized interest
  on capital leases

                                   

2

 
 

Total fixed charges as above
  (excluding capitalized interest,
  capitalized interest on capital lease
  obligations and preferred security
  distributions of subsidiaries on a
  pre-tax basis)

   

197

     

219

     

225

     

238

     

257

 
           

   

   

   

   

 
       

Total earnings

 

$

281

   

$

265

   

$

298

   

$

443

   

$

706

 
           

   

   

   

   

 

Ratio of earnings to fixed charges

   

1.4

     

1.2

     

1.2

     

1.7

     

2.5

 
           

   

   

   

   

 

(a)

 

Net income excludes extraordinary item and the cumulative effect of a change in accounting principle.