EX-12 14 ex12aep4q.htm COMPUTATION OF RATIOS - AEP 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,
  
   
2008
  
2009
    2010      2011     2012  
EARNINGS
                               
Income Before Income Tax Expense and Equity Earnings
  
$
2,015
  
$
1,938
  
$
1,849
   $ 
2,367
   $  1,822  
Fixed Charges (as below)
    
1,240
    
1,237
    
1,254
    
1,209
     1,257  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      (4 )     (4 )    (4 )   
(8
 )    -  
Total Earnings
  
$
3,251
   $
3,171
  
$
3,099
   $ 
3,568
   $  3,079  
                                 
FIXED CHARGES
                                
Interest Expense
  
$
957
   $ 973  
$
 999   $  933   $  988  
Credit for Allowance for Borrowed Funds Used
   During Construction
    
75
     67     53     63     69  
Estimated Interest Element in Lease Rentals     204     193     198     205     200  
Preferred Security Dividend Requirements of
   Consolidated Subsidiaries
      4      4      4     8     -  
Total Fixed Charges
  
$
1,240
   $
1,237
  
$
1,254
   $  1,209   $  1,257  
                                 
Ratio of Earnings to Fixed Charges
    
2.62
    
2.56
    
2.47
     2.95     2.44