Rural Electric Cooperative Grantor Trust Kepco Series 1997 10-K 2011 FY Annual report

EXHIBIT 12

RURAL ELECTRIC COOPERATIVE GRANTOR TRUST (KEPCO) SERIES 1997

Computation of Ratio of Earnings to Fixed Charges

		Year Ended December 31,
		2011		2010		2009		2008			2007
Net income (loss)	$	1,025,713	$	508,387	$	3,354,453	$	(3,174,818	)	$	(582,686	)
Add: Fixed charges		155,118		325,119		692,179		1,580,794			2,299,941
Income (loss) available for fixed
charges	$	1,180,831	$	833,506	$	4,046,632	$	(1,594,024	)	$	1,717,255
Fixed charges:
Interest on all debt	$	155,118	$	325,119	$	692,179	$	1,580,794		$	2,299,941
Total fixed charges	$	155,118	$	325,119	$	692,179	$	1,580,794		$	2,299,941
Ratio of income (loss) to
fixed charges		7.61		2.56		5.85		-			-
Deficiency	$	-	$	-	$	-	$	(3,174,818	)	$	(582,686	)

For the years ended December 31, 2008 and 2007, earnings were insufficient to cover fixed charges by  $3.2 million and $0.6 million, respectively.