EX-12 3 im12.txt EX 12 IM 09/30/01 EXHIBIT 12 INDIANA MICHIGAN POWER COMPANY Computation of Consolidated Ratio of Earnings to Fixed Charges (in thousands except ratio data)
Twelve Months Year Ended December 31, Ended 1996 1997 1998 1999 2000 9/30/01 Fixed Charges: Interest on First Mortgage Bonds. . . . . . . $ 41,209 $ 39,678 $ 35,910 $ 31,442 $ 24,154 $ 22,502 Interest on Other Long-term Debt. . . . . . . 20,100 21,064 27,457 38,623 55,977 58,455 Interest on Short-term Debt . . . . . . . . . 2,982 3,248 4,903 9,207 19,263 14,507 Miscellaneous Interest Charges. . . . . . . . 3,262 3,187 3,113 6,754 20,356 20,835 Estimated Interest Element in Lease Rentals . 82,600 79,700 79,300 73,800 74,100 74,100 Total Fixed Charges. . . . . . . . . . . $150,153 $146,877 $150,683 $159,826 $193,850 $190,399 Earnings: Net Income (Loss) . . . . . . . . . . . . . . $157,153 $146,740 $ 96,628 $ 32,776 $(132,032) $ 13,313 Plus Federal Income Taxes . . . . . . . . . . 76,899 74,223 47,210 18,866 (4,524) 72,119 Plus State Income Taxes . . . . . . . . . . . 9,270 7,519 4,938 (7,352) 9,237 15,843 Plus Fixed Charges (as above) . . . . . . . . 150,153 146,877 150,683 159,826 193,850 190,399 Total Earnings . . . . . . . . . . . . . $393,475 $375,359 $299,459 $204,116 $ 66,531 $291,674 Ratio of Earnings to Fixed Charges. . . . . . . 2.62 2.55 1.98 1.27 0.34 1.53