Exhibit 12.4
PECO Energy Company
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
Years Ended December 31, | |||||||||||||||
2005 | 2006 | 2007 | 2008 | 2009 | |||||||||||
Pre-tax income from continuing operations before adjustment for income or loss from equity investees and minority interest | 767 | 621 | 737 | 475 | 499 | ||||||||||
Plus: Loss from equity investees | 16 | 9 | 7 | 16 | 24 | ||||||||||
Less: Capitalized interest | (1 | ) | (3 | ) | (3 | ) | (3 | ) | (2 | ) | |||||
Preference security dividend requirements | (6 | ) | (6 | ) | (6 | ) | (6 | ) | (6 | ) | |||||
Pre-tax income from continuing operations after adjustment for income or loss from equity investees, minority interest, capitalized interest and preference security dividend requirements | 776 | 621 | 735 | 482 | 515 | ||||||||||
Fixed charges: | |||||||||||||||
Interest expensed and capitalized, amortization of debt discount and premium on all indebtness | 280 | 269 | 251 | 229 | 185 | (a) | |||||||||
Interest component of rental expense (b) | 1 | 1 | 6 | 9 | 9 | ||||||||||
Preference security dividend requirements | 6 | 6 | 6 | 6 | 6 | ||||||||||
Total fixed charges | 287 | 276 | 263 | 244 | 200 | ||||||||||
Pre-tax income from continuing operations after adjustment for income or loss from equity investees, capitalized interest and preference security dividend requirements plus fixed charges | 1,063 | 897 | 998 | 726 | 715 | ||||||||||
Ratio of earnings to combined fixed charges and preferred stock dividends | 3.7 | 3.3 | 3.8 | 3.0 | 3.6 |
(a) | Includes interest expense of $0, $0 and $0 million for the years ended December 31, 2009, 2008 and 2007, respectively, related to uncertain income tax positions. |
(b) | Represents one-third of rental expense relating to operating leases, which is a reasonable approximation of the interest factor. |