EX-12 5 ex12aep4q.htm COMPUTATION OF RATIOS Unassociated Document
EXHIBIT 12
 
 
AMERICAN ELECTRIC POWER COMPANY, INC. AND SUBSIDIAIRIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in millions except ratio data)
 
   
Years Ended December 31,
  
   
2006
  
2007
  
2008
  
2009
    2010   
EARNINGS
                             
Income Before Income Tax Expense and Equity Earnings
  
$
1,483
  
$
1,663
  
$
2,015
  
$
1,938
  
$
1,849
  
Fixed Charges (as below)
    
999
    
1,146
    
1,240
    
1,237
    
1,254
  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      (4 )     (4 )     (4 )     (4 )    (4 ) 
Total Earnings
  
$
2,478
  
$
2,805
  
$
3,251
   $
3,171
  
$
3,099
  
                                 
FIXED CHARGES
                                
Interest Expense
  
$
729
  
$
838
  
$
957
   $ 973  
$
 999  
Credit for Allowance for Borrowed Funds Used
   During Construction
    
82
    
79
    
75
     67     53  
Estimated Interest Element in Lease Rentals     184     225     204     193     198  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      4      4      4      4      4  
Total Fixed Charges
  
$
999
  
$
1,146
  
$
1,240
   $
1,237
  
$
1,254
  
                                 
Ratio of Earnings to Fixed Charges
    
2.48
    
2.44
    
2.62
    
2.56
    
2.47