EX-12.2 4 wgl-9302016ex122.htm EXHIBIT 12.2 Exhibit


Exhibit 12.2
WASHINGTON GAS LIGHT COMPANY
Computation of Ratio of Earnings to Fixed Charges and
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
 
 
 
Twelve Months Ended September 30,
($ in thousands)
 
2016
 
2015
 
2014
 
2013
 
2012
EARNINGS:
 
 
 
 
 
 
 
 
 
 
Pre-Tax Net Income(a)
 
$
184,780

 
$
180,069

 
$
145,858

 
$
116,519

 
$
181,793

Add:
 
 
 
 
 
 
 
 
 
 
Total Fixed Charges
 
42,916

 
43,202

 
38,415

 
37,081

 
37,886

Total Earnings
 
$
227,696

 
$
223,271

 
$
184,273

 
$
153,600

 
$
219,679

FIXED CHARGES:
 
 
 
 
 
 
 
 
 
 
Interest on long term debt
 
$
40,129

 
$
41,102

 
$
36,233

 
$
34,512

 
$
36,275

Other Interest (excluding AFUDC)
 
674

 
295

 
458

 
525

 
(101
)
Amortization of Debt Premium, Discount and Expense
 
303

 
412

 
345

 
337

 
352

One-third of Rental Expense(b)
 
1,810

 
1,393

 
1,379

 
1,707

 
1,360

Total Fixed Charges
 
$
42,916

 
$
43,202

 
$
38,415

 
$
37,081

 
$
37,886

Ratio of Earnings to Fixed Charges
 
5.3

 
5.2

 
4.8

 
4.1

 
5.8

FIXED CHARGES AND PRE-TAX PREFERRED STOCK DIVIDENDS:
 
 
 
 
 
 
 
 
 
 
Pre-Tax Preferred Dividend Requirement
 
$
1,320

 
$
1,320

 
$
1,320

 
$
1,320

 
$
1,320

Effective Income Tax Rate
 
0.3879

 
0.3965

 
0.3258

 
0.3793

 
0.3947

Complement of Effective Income Tax Rate (1-Tax Rate)
 
0.6121

 
0.6035

 
0.6742

 
0.6207

 
0.6053

Preferred Dividend Requirement
 
$
2,157

 
$
2,187

 
$
1,958

 
$
2,127

 
$
2,181

Combined Fixed Charges and Preferred Dividends
 
$
45,073

 
$
45,389

 
$
40,373

 
$
39,208

 
$
40,067

Ratio of Earnings to Fixed Charges and Preferred Stock Dividends
 
5.1

 
4.9

 
4.6

 
3.9

 
5.5

(a) Excludes amounts attributable to income or loss from equity investees.
(b) Management believes one-third of the total rental expense gives a reasonable estimate of total interest on rentals.