EX-12 5 ex12im4q.htm COMPUTATION OF RATIOS Unassociated Document
EXHIBIT 12
 
 
INDIANA MICHIGAN POWER COMPANY AND SUBSIDIARIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data) 
 
   
Year Ended December 31,
  
   
2004
  
2005
  
2006
     2007      2008  
EARNINGS
                         
Income Before Income Taxes
  
$
204,837
  
$
228,082
  
$
197,273
   $
 204,394
   $
 190,133
  
Fixed Charges (as below)
    
139,421
    
133,293
    
142,388
    
 161,849
    
164,660
  
Total Earnings
  
$
344,258
  
$
361,375
  
$
339,661
   $
 366,243
   $  354,793  
                                 
FIXED CHARGES
                                
Interest Expense
  
$
69,071
  
$
65,041
  
$
72,723
   $
 80,034
   $  89,851  
Credit for Allowance for Borrowed Funds Used
   During Construction
    
1,750
    
4,352
    
7,465
      5,315     4,609  
Estimated Interest Element in Lease Rentals     68,600     63,900     62,200    
 76,500
    
 70,200
  
Total Fixed Charges
  
$
139,421
  
$
133,293
  
$
142,388
   $
 161,849
   $
 164,660
  
                                 
Ratio of Earnings to Fixed Charges
    
2.46
    
2.71
    
2.38
    
 2.26
     2.15