EX-12 2 ex12apco2q.htm COMPUTATION OF RATIOS Unassociated Document
EXHIBIT 12
 
 
APPALACHIAN POWER COMPANY AND SUBSIDIARIES
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data)
 
          Twelve    Six  
          Months     Months  
   
Years Ended December 31,
     Ended     Ended  
   
2006
  
2007
    
 2008
  
2009
   2010      6/30/2011      6/30/2011  
EARNINGS
                                          
Income Before Income Taxes
  
$
282,865
  
$
195,613
   $ 166,801   $ 201,263   $ 210,898    $  240,838    $   111,659   
Fixed Charges (as below)     151,874     178,067     225,573     215,640     217,500       220,597       111,445   
Total Earnings
  
$
434,739
  
$
373,680
   $ 392,374   $ 416,903   $ 428,398    $   461,435    $   223,104   
                                             
FIXED CHARGES
                                            
Interest Expense
  
$
129,106
  
$
165,405
   $ 209,733   $ 202,426   $ 207,649    $   210,218    $   106,127   
Credit for Allowance for Borrowed Funds Used
   During Construction
     17,668     6,962     9,040     6,014     2,251       2,779       1,518   
Estimated Interest Element in Lease Rentals     5,100     5,700    
6,800
     7,200     7,600       7,600       3,800   
Total Fixed Charges
  
$
151,874
  
$
178,067
   $ 225,573   $ 215,640   $ 217,500    $   220,597    $   111,445   
                                             
Ratio of Earnings to Fixed Charges
    
2.86
    
2.09
     1.73     1.93     1.96      2.09       2.00