PPL Electric Utilities 10-Q 2003 Q2 Quarterly report

Exhibit 12(a)
PPL CORPORATION AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Millions of Dollars)
					12 Months Ended June 30,			12 Months Ended December 31,
					2003			2002			2001		2000		1999		1998
Fixed charges, as defined:
	Interest on long-term debt				$	446		$	486		$	351	$	323	$	233	$	203
	Interest on short-term debt and   other interest					63			71			44		64		47		33
	Amortization of debt discount,   expense and premium - net					39			25			17		5		4		2
	Interest on capital lease obligations
			Charged to expense											4		9		8
			Capitalized													1		2
	Estimated interest component of   operating rentals					55			39			36		25		20		18
	Preferred stock dividends and   preferred securities distributions   of subsidiaries on a pre-tax basis					69			79			64		31		30		31
				Total fixed charges	$	672		$	700		$	512	$	452	$	344	$	297
Earnings, as defined:
	Net income (a)				$	555		$	436		$	167	$	491	$	492	$	379
	Preferred security dividend   requirements					58			67			52		26		26		25
	Less undistributed income (loss) of   equity method investments					(10	)		(23	)		20		74		56		3
						623			526			199		443		462		401
Add:
	Income taxes					214			210			261		294		174		259
	Amortization of capitalized interest   on capital leases													2		2		2
	Total fixed charges as above   (excluding capitalized interest,   capitalized interest on capital lease   obligations and preferred stock   dividends of subsidiaries on a   pre-tax basis)					589			600			419		405		307		257
				Total earnings	$	1,426		$	1,336		$	879	$	1,144	$	945	$	919
Ratio of earnings to fixed charges						2.1			1.9			1.7		2.5		2.7		3.1
Ratio of earnings to combined fixed   charges and preferred stock   dividends (b)						2.1			1.9			1.7		2.5		2.7		3.1
(a)		Net income excludes extraordinary items, minority interest and the cumulative effect of a change in accounting principle.
(b)		PPL, the parent holding company, does not have any preferred stock outstanding; therefore, the ratio of earnings to combined fixed charges and preferred stock dividends is the same as the ratio of earnings to fixed charges.