EXHIBIT 12

SOUTHWESTERN ELECTRIC POWER COMPANY CONSOLIDATED
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data)

	Year Ended December 31,
	1999		2000		2001		2002		2003
Earnings:
Net Income Before Extraordinary Item
And Cumulative Effect of
Accounting Changes	$86,205		$72,672		$89,367		$82,992		$89,624
Plus Federal Income Taxes	49,180		12,058		70,121		37,439		37,315
Plus State Income Taxes	6,162		2,538		8,385		5,687		8,140
Plus Provision for Deferred Income Taxes	(17,347	)	14,653		(31,396	)	(3,134	)	9,942
Plus Deferred Investment Tax Credits	(4,565	)	(4,482	)	(4,453	)	(4,524	)	(4,325	)
Plus Fixed Charges (as below)	61,177		62,851		60,503		60,529		66,685
Total Earnings	$180,812		$160,290		$192,527		$178,989		$207,381
Fixed Charges:
Interest on Long-term Debt	$38,380		$43,547		$41,401		$43,011	*	$53,309
Interest on Short-term Debt	13,800		10,174		9,680		7,776	*	6,545
Distributions on Trust Preferred Securities	8,662		8,663		8,663		8,662		4,331
Interest Portion of Financing Leases	335		--		--		--		--
Estimated Interest Element in Lease Rentals	--		467		759		1,080		2,500
Total Fixed Charges	$61,177		$62,851		$60,503		$60,529		$66,685
Ratio of Earnings to Fixed Charges	2.95		2.55		3.18		2.95		3.10

* Certain amounts have been reclassified between interest on short-term and long-term debt compared to periods prior to January 1, 2002. This reclassification had no affect on the ratio.