EX-12 4 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)
 
    Years Ended December 31,  
   
2006
  
2007
    
2008
     2009    2010  
EARNINGS
                              
Income Before Income Taxes
  
$
197,273
  
$
204,394
  
$
 190,133   $ 297,347   $ 189,517  
Fixed Charges (as below)
    
142,388
    
161,849
     164,660     173,293     174,965  
Total Earnings
  
$
339,661
  
$
366,243
   $ 354,793   $ 470,640   $ 364,482  
                                 
FIXED CHARGES
                                
Interest Expense
  
$
72,723
  
$
80,034
   $ 89,851   $ 101,145   $ 104,465  
Credit for Allowance for Borrowed Funds Used
   During Construction
    
7,465
    
5,315
     4,609     8,348     8,500  
Estimated Interest Element in Lease Rentals     62,200     76,500     70,200     63,800     62,000  
Total Fixed Charges
  
$
142,388
  
$
161,849
   $ 164,660   $ 173,293   $ 174,965  
                                 
Ratio of Earnings to Fixed Charges
    
2.38
    
2.26
     2.15     2.71     2.08