EX-12 8 ex12swepco4q.htm COMPUTATION OF RATIOS Unassociated Document
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,
  
   
2005
  
2006
  
2007
  
2008
    
2009
  
 EARNINGS
                            
Income Before Income Taxes and Equity Earnings 
  
$
114,341
  
$
138,289
 
$
87,333
  
$
 129,489  
$
140,035
  
Fixed Charges (as below)     55,808     63,242     79,435     119,516    
109,146
  
Total Earnings
  
$
170,149
  
$
201,531
  
$
166,768
  
$
 249,005   $ 
249,181
  
                                 
FIXED CHARGES
                                
Interest Expense
   $ 50,089   $ 55,213   $ 60,619   $ 93,150   $ 
70,500
  
Credit for Allowance for Borrowed Funds
   Used During Construction
    
1,198
    
2,208
    
9,795
     19,800    
29,546
  
Trust Dividends     (179 )   (179 )   (179 )   (134 )   
-
  
Estimated Interest Element in Lease Rentals     4,700     6,000     9,200     6,700    
9,100
  
Total Fixed Charges
  
$
55,808
  
$
63,242
  
$
79,435
  
$
 119,516   $ 
109,146
  
                                 
Ratio of Earnings to Fixed Charges
    
3.04
    
3.18
    
2.09
     2.08    
2.28