EX-12 2 dex12.htm COMPUTATIONS OF RATIO OF CONSOLIDATED EARNINGS TO FIXED CHARGES Computations of Ratio of Consolidated Earnings to Fixed Charges

Exhibit 12

WESTAR ENERGY, INC.

Computations of Ratio of Earnings to Fixed Charges and

Computations of Ratio of Earnings to Combined Fixed Charges

and Preferred Dividend Requirements

(Dollars in Thousands)

 

      Year Ended December 31,  
     2005    2004    2003    2002     2001  

Earnings from continuing operations (a)

   $ 195,485    $ 133,542    $ 244,542    $ 68,245     $ 34,710  
                                     

Fixed Charges:

             

Interest expense

     111,735      143,953      225,901      237,418       224,777  

Interest on corporate-owned life insurance borrowings

     51,058      50,429      52,839      52,768       50,409  

Interest applicable to rentals

     23,324      21,377      23,084      24,647       30,377  
                                     

Total Fixed Charges

     186,117      215,759      301,824      314,833       305,563  
                                     

Distributed income of equity investees

     —        —        —        2,916       2,769  
                                     

Preferred Dividend Requirements:

             

Preferred dividends (b)

     970      970      968      399       895  

Income tax required

     435      324      485      (52 )     (403 )
                                     

Total Preferred Dividend Requirements

     1,405      1,294      1,453      347       492  
                                     

Total Fixed Charges and Preferred Dividend Requirements

     187,522      217,053      303,277      315,180       306,055  
                                     

Earnings (c)

   $ 381,602    $ 349,301    $ 546,366    $ 385,994     $ 343,042  
                                     

Ratio of Earnings to Fixed Charges

     2.05      1.62      1.81      1.23       1.12  

Ratio of Earnings to Combined Fixed Charges and Preferred Dividend Requirements

     2.03      1.61      1.80      1.22       1.12  

(a) Earnings from continuing operations consist of income from continuing operations before income taxes, cumulative effects of accounting changes and preferred dividends adjusted for undistributed earnings from equity investees.
(b) Preferred dividend requirements consist of an amount equal to the pre-tax earnings that would be required to meet dividend requirements on preferred stock.
(c) Earnings are deemed to consist of earnings from continuing operations, fixed charges and distributed income of equity investees. Fixed charges consist of all interest on indebtedness, amortization of debt discount and expense, and the portion of rental expense that represents an interest factor.