EX-12 4 ex12im20161q.htm COMPUTATION OF RATIOS - I&M Exhibit


EXHIBIT 12
 
 
INDIANA MICHIGAN POWER COMPANY AND SUBSIDIARIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data)
 
 
 
 
 
 
 
 
 
 
 
 
Twelve
 
Three
 
 
 
 
 
 
 
 
 
 
 
 
Months
 
Months
 
 
Years Ended December 31,
 
Ended 
 
Ended
 
 
2011
 
2012
 
2013
 
2014
 
2015
 
3/31/2016
 
3/31/2016
EARNINGS
 
 

 
 

 
 

 
 

 
 

 
 

 
 

Income Before Income Taxes
 
$
201.4

 
$
157.8

 
$
252.6

 
$
235.3

 
$
300.9

 
$
292.3

 
$
98.8

Fixed Charges (as below)
 
168.0

 
168.7

 
167.4

 
159.0

 
139.9

 
140.0

 
35.8

Total Earnings
 
$
369.4

 
$
326.5

 
$
420.0

 
$
394.3

 
$
440.8

 
$
432.3

 
$
134.6

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
FIXED CHARGES
 
 

 
 
 
 
 
 
 
 
 
 
 
 
Interest Expense
 
$
97.7

 
$
102.7

 
$
97.7

 
$
93.5

 
$
90.2

 
$
89.9

 
$
22.5

Credit for Allowance for Borrowed Funds
   Used During Construction
 
7.8

 
4.7

 
9.8

 
8.0

 
5.0

 
5.4

 
2.1

Estimated Interest Element in Lease Rentals
 
62.5

 
61.2

 
59.9

 
57.5

 
44.7

 
44.7

 
11.2

Total Fixed Charges
 
$
168.0

 
$
168.6

 
$
167.4

 
$
159.0

 
$
139.9

 
$
140.0

 
$
35.8

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges
 
2.19

 
1.93

 
2.50

 
2.47

 
3.15

 
3.08

 
3.75