Exhibit 12.1
Pepco Holdings, Inc.
| Six Months Ended June 30, 2010 | For the Year Ended December 31, | |||||||||||||||||||
| 2009 | 2008 | 2007 | 2006 | 2005 | ||||||||||||||||
| (millions of dollars) | ||||||||||||||||||||
Income from continuing operations before extraordinary item (a) | $ | 105 | $ | 221 | $ | 186 | $ | 254 | $ | 205 | $ | 323 | ||||||||
Income tax expense (b) | 58 | 104 | 91 | 141 | 133 | 227 | ||||||||||||||
Fixed charges: | ||||||||||||||||||||
Interest on long-term debt, amortization of discount, premium and expense | 177 | 348 | 311 | 315 | 307 | 312 | ||||||||||||||
Other interest | 12 | 23 | 24 | 25 | 19 | 20 | ||||||||||||||
Preferred dividend requirements of subsidiaries | — | — | — | — | 1 | 3 | ||||||||||||||
Total fixed charges | 189 | 371 | 335 | 340 | 327 | 335 | ||||||||||||||
Non-utility capitalized interest | — | — | (1 | ) | — | (1 | ) | — | ||||||||||||
Income before extraordinary item, income tax expense, fixed charges and non-utility capitalized interest | $ | 352 | $ | 696 | $ | 611 | $ | 735 | $ | 664 | $ | 885 | ||||||||
Total fixed charges, shown above | 189 | 371 | 335 | 340 | 327 | 335 | ||||||||||||||
Increase preferred stock dividend requirements of subsidiaries to a pre-tax amount | — | — | — | — | 1 | 2 | ||||||||||||||
Fixed charges for ratio computation | $ | 189 | $ | 371 | $ | 335 | $ | 340 | $ | 328 | $ | 337 | ||||||||
Ratio of earnings to fixed charges and preferred dividends | 1.86 | 1.88 | 1.82 | 2.16 | 2.02 | 2.63 | ||||||||||||||
| (a) | Excludes income/losses from equity investments. |
| (b) | Concurrent with the adoption of FASB guidance on taxes (ASC 740) in 2007, amount includes interest on uncertain tax positions. |