EXHIBIT 12
FIRSTENERGY CORP.
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES
Year Ended December 31 | |||||||||||||||||||||
2012 | 2013 | 2014 | 2015 | 2016 | |||||||||||||||||
(in millions) | |||||||||||||||||||||
EARNINGS AS DEFINED IN REGULATION S-K: | |||||||||||||||||||||
Income (loss) from continuing operations | $ | 755 | $ | 375 | $ | 213 | $ | 578 | $ | (6,177 | ) | ||||||||||
Interest and other charges, before reduction for amounts capitalized and deferred | 1,001 | 1,016 | 1,073 | 1,132 | 1,157 | ||||||||||||||||
Capitalized interest | (72 | ) | (75 | ) | (69 | ) | (68 | ) | (66 | ) | |||||||||||
Provision for income taxes (benefits) | 545 | 195 | (42 | ) | 315 | (3,055 | ) | ||||||||||||||
Interest element of rentals charged to income (1) | 136 | 96 | 83 | 78 | 89 | ||||||||||||||||
Earnings as defined | $ | 2,365 | $ | 1,607 | $ | 1,258 | $ | 2,035 | $ | (8,052 | ) | ||||||||||
FIXED CHARGES AS DEFINED IN REGULATION S-K: | |||||||||||||||||||||
Interest before reduction for amounts capitalized and deferred | $ | 1,001 | $ | 1,016 | $ | 1,073 | $ | 1,132 | $ | 1,157 | |||||||||||
Interest element of rentals charged to income (1) | 136 | 96 | 83 | 78 | 89 | ||||||||||||||||
Fixed charges as defined | $ | 1,137 | $ | 1,112 | $ | 1,156 | $ | 1,210 | $ | 1,246 | |||||||||||
CONSOLIDATED RATIO OF EARNINGS TO FIXED CHARGES | 2.08 | 1.45 | 1.09 | 1.68 | N/A |
(1) | Includes the interest element of rentals where determinable plus 1/3 of rental expense where no readily defined interest element can be determined. |
(2) | The ratio of earnings to fixed charges was negative for the year ended December 31, 2016 resulting from pre-tax impairment charges of $10,665 million. Additional earnings of $9,298 million would be required to have a one-to-one ratio of earnings to fixed charges. |
239