PG&E (PCG) 10-Q 2017 Q3 Quarterly report

EXHIBIT 12.3

PG&E CORPORATIONCOMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

	Nine
	Months Ended
	September 30,			Year Ended December 31,
(in millions)	2017			2016			2015			2014			2013			2012
Earnings:
Net income	$	1,542		$	1,407		$	888		$	1,450		$	828		$	830
Income tax provision (benefit)		403			55			(27	)		345			268			237
Fixed charges		1,195			1,440			1,284			1,206			1,012			931
Pre-tax earnings required to
cover the preferred stock
dividend of consolidated
subsidiaries		(11	)		(14	)		(14	)		(15	)		(16	)		(15	)
Total earnings	$	3,129		$	2,888		$	2,131		$	2,986		$	2,092		$	1,983
Fixed charges:
Interest on short-term
borrowings and long-term
debt, net	$	1,155		$	1,372		$	1,218		$	1,140		$	942		$	859
Interest on capital leases		2			3			4			6			7			9
AFUDC debt		27			51			48			45			47			48
Pre-tax earnings required to
cover the preferred stock
dividend of consolidated
subsidiaries		11			14			14			15			16			15
Total fixed charges	$	1,195		$	1,440		$	1,284		$	1,206		$	1,012		$	931
Ratios of earnings to
fixed charges		2.62			2.01			1.66			2.48			2.07			2.13

Note:

For the purpose of computing PG&E Corporation's ratios of earnings to fixed charges, "earnings" represent income from continuing operations adjusted for income taxes, fixed charges (excluding capitalized interest), and pre-tax earnings required to cover the preferred stock dividend of consolidated subsidiaries.  "Fixed charges" include interest on long-term debt and short-term borrowings (including a representative portion of rental expense), amortization of bond premium, discount and expense, interest on capital leases, AFUDC debt, and earnings required to cover preferred stock dividends of consolidated subsidiaries.  Fixed charges exclude interest on tax liabilities.