EX-12 7 ex12swepco3q.htm COMPUTATION OF RATIOS - SWEPCO ex12swepco3q


EXHIBIT 12
 
 
SOUTHWESTERN ELECTRIC POWER COMPANY CONSOLIDATED
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data)
 
 
 
 
 
 
 
 
 
 
 
 
Twelve
 
Nine
 
 
 
 
 
 
 
 
 
 
 
 
Months
 
Months
 
 
Years Ended December 31,
 
Ended 
 
Ended
 
 
2009
 
2010
 
2011
 
2012
 
2013
 
9/30/2014
 
9/30/2014
EARNINGS
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Income Before Income Taxes
 
$
140,035

 
$
208,484

 
$
219,283

 
$
245,862

 
$
220,957

 
$
325,153

 
$
189,123

Fixed Charges (as below)
 
109,146

 
132,106

 
134,285

 
147,817

 
144,844

 
141,619

 
107,383

Total Earnings
 
$
249,181

 
$
340,590

 
$
353,568

 
$
393,679

 
$
365,801

 
$
466,772

 
$
296,506

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
FIXED CHARGES
 
 

 
 
 
 
 
 
 
 
 
 
 
 
Interest Expense
 
$
70,500

 
$
86,538

 
$
81,781

 
$
88,318

 
$
130,282

 
$
125,389

 
$
95,258

Credit for Allowance for Borrowed Funds Used During Construction
 
29,546

 
33,668

 
40,904

 
48,499

 
4,262

 
5,930

 
4,400

Estimated Interest Element in Lease Rentals
 
9,100

 
11,900

 
11,600

 
11,000

 
10,300

 
10,300

 
7,725

Total Fixed Charges
 
$
109,146

 
$
132,106

 
$
134,285

 
$
147,817

 
$
144,844

 
$
141,619

 
$
107,383

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges
 
2.28

 
2.57

 
2.63

 
2.66

 
2.52

 
3.29

 
2.76