EX-12 20 ppl10k_2001-exhibit12c.htm PPL ELECTRIC UTILITIES Exhibit 12(c)

Exhibit 12(c)
PPL ELECTRIC UTILITIES CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)
2001 (c)
2000 (c)
1999
1998
1997





Fixed charges, as defined:
Interest on long-term debt $
220
$
223
$
205
$
188
$
195
Interest on short-term debt and other interest
4
16
12
14
17
Amortization of debt discount, expense and premium - net
6
4
3
2
2
Interest on capital lease obligations
Charged to expense
4
9
8
9
Capitalized
1
2
2
Estimated interest component of operating rentals
8
14
19
18
15





Total fixed charges $
238
$
261
$
249
$
232
$
240





Earnings, as defined:
Net income (a) $
114
$
250
$
444
$
361
$
308
Preferred security dividend requirements
26
26
37
48
40
Less undistributed income of equity method investment





$
140
$
276
$
481
$
409
$
348
Add (Deduct):
Income taxes
65
171
151
273
248
Amortization of capitalized interest on capital leases
2
2
2
2
Total fixed charges as above
(excluding capitalized interest on capital lease obligations)
238
261
248
230
238





Total earnings $
443
$
710
$
882
$
914
$
836





Ratio of earnings to fixed charges (b) (c)
1.9
2.7
3.5
3.9
3.5





(a) 2001, 2000, 1999 and 1998 net income excluding extraordinary items and the cumulative effect of a change in accounting principle.
(b) Based on earnings excluding unusual items, the ratio of earnings to fixed charges are: 2001, 1.9; 2000, 2.6; 1999, 3.4; and 1998, 3.5.
(c) Due to the corporate realignment on July 1, 2000, both 2001 and 2000 are not comparable to prior years.