EX-12 3 swepex12.txt EXHIBIT 12 EXHIBIT 12 SOUTHWESTERN ELECTRIC POWER COMPANY Computation of Consolidated Ratios of Earnings to Fixed Charges (in thousands except ratio data)
Twelve Months Year Ended December 31, Ended ----------------------------------------------- 1997 1998 1999 2000 2001 6/30/02 ---- ---- ---- ---- ---- ------- Earnings: Income Before Extraordinary Item $ 92,966 $ 97,994 $ 86,205 $ 72,672 $ 89,367 $ 78,028 Plus Federal Income Taxes 39,791 57,506 49,180 12,058 70,121 69,874 Plus State Income Taxes 4,605 5,089 6,162 2,538 8,385 7,644 Plus Provision for Deferred Income Taxes (2,209) (11,909) (17,347) 14,653 (31,396) (35,426) Plus Deferred Investment Tax Credits (4,662) (4,631) (4,565) (4,482) (4,453) (4,503) Plus Fixed Charges (as below) 52,952 57,084 61,177 62,384 59,744 57,423 -------- -------- -------- -------- -------- -------- Total Earnings $183,443 $201,133 $180,812 $159,823 $191,768 $173,040 ======== ======== ======== ======== ======== ======== Fixed Charges: Interest on Long-term Debt $ 40,440 $ 39,233 $ 38,380 $ 43,547 $ 41,401 $ 38,989 Interest on Short-term Debt 5,736 8,591 13,800 10,174 9,680 9,771 Distributions on Trust Preferred Securities 5,582 8,662 8,662 8,663 8,663 8,663 Interest Portion of Financing Leases 1,194 598 335 - - - -------- -------- -------- -------- -------- -------- Total Fixed Charges $ 52,952 $ 57,084 $ 61,177 $ 62,384 $ 59,744 $ 57,423 ======== ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges 3.46 3.52 2.95 2.56 3.20 3.01 ==== ==== ==== ==== ==== ====