EX-12.(B) 8 exhibit12b.htm EXHIBIT 12(B) exhibit12b.htm
Exhibit 12(b)


FLORIDA POWER & LIGHT COMPANY AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (a)


 
Years Ended December 31,
  
 
2008
  
2007
  
2006
  
2005
  
2004
  
 
(millions of dollars)
  
RATIO OF EARNINGS TO FIXED CHARGES
                              
                               
Earnings, as defined:
                              
Net income
$
789
  
$
836
  
$
802
  
$
748
  
$
750
  
Income taxes
  
443
    
451
    
424
    
408
    
409
  
Fixed charges, as below
  
359
    
325
    
296
    
244
    
202
  
                               
Total earnings, as defined
$
1,591
  
$
1,612
  
$
1,522
  
$
1,400
  
$
1,361
  
                               
Fixed charges, as defined:
                              
Interest expense
$
334
  
$
304
  
$
278
  
$
224
  
$
183
  
Rental interest factor
  
7
    
7
    
7
    
7
    
8
  
Allowance for borrowed funds used during construction
  
18
    
14
    
11
    
13
    
11
  
                               
Total fixed charges, as defined
$
359
  
$
325
  
$
296
  
$
244
  
$
202
  
                               
Ratio of earnings to fixed charges
  
4.43
    
4.96
    
5.14
    
5.74
    
6.74
  
                               
                               
RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
                              
                               
Earnings, as defined:
                              
Net income
$
789
  
$
836
  
$
802
  
$
748
  
$
750
  
Income taxes
  
443
    
451
    
424
    
408
    
409
  
Fixed charges, as below
  
359
    
325
    
296
    
244
    
202
  
                               
Total earnings, as defined
$
1,591
  
$
1,612
  
$
1,522
  
$
1,400
  
$
1,361
  
                               
Fixed charges, as defined:
                              
Interest expense
$
334
  
$
304
  
$
278
  
$
224
  
$
183
  
Rental interest factor
  
7
    
7
    
7
    
7
    
8
  
Allowance for borrowed funds used during construction
  
18
    
14
    
11
    
13
    
11
  
                               
Total fixed charges, as defined
  
359
    
325
    
296
    
244
    
202
  
                               
Non-tax deductible preferred stock dividends
  
-
    
-
    
-
    
-
    
1
  
Ratio of income before income taxes to net income
  
1.56
    
1.54
    
1.53
    
1.55
    
1.55
  
                               
Preferred stock dividends before income taxes
  
-
    
-
    
-
    
-
    
2
  
                               
Combined fixed charges and preferred stock dividends
$
359
  
$
325
  
$
296
  
$
244
  
$
204
  
                               
Ratio of earnings to combined fixed charges and preferred stock dividends
  
 
4.43
    
4.96
    
5.14
    
5.74
    
6.67
  
____________________
(a)
Florida Power & Light Company’s preference equity securities were redeemed in January 2005.  For the year ended December 31, 2005, preferred stock dividends were less than $1 million.  Therefore, for the years ended December 31, 2008, 2007, 2006 and 2005, the ratio of earnings to fixed charges is the same as the ratio of earnings to combined fixed charges and preferred stock dividends.