PPL Electric Utilities 10-Q 2004 Q2 Quarterly report

Exhibit 12(b)
PPL ENERGY SUPPLY, LLC AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Millions of Dollars)
				12 Months Ended June 30,			12 Months Ended December 31,
				2004			2003				2002				2001			2000 (b)			1999 (b)
Fixed charges, as defined:
	Interest on long-term debt		$		218			$	149			$	169			$	36		$	54		$	20
	Interest on short-term debt and   other interest				16				25				52				33			75			32
	Amortization of debt discount,   expense and premium - net				3				31				9				2			11			1
	Estimated interest component of   operating rentals				25				38				23				19			9
	Preferred securities distributions of   subsidiaries on a pre-tax basis				2				8				12
		Total fixed charges	$		264			$	251			$	265			$	90		$	149		$	53
Earnings, as defined:
	Net income (loss) (a)		$		740			$	719			$	509			$	168		$	246		$	(20	)
	Preferred security dividend   requirement				1				5				9
	Less undistributed income (loss)   of equity method investments				(16	)			(15	)			(22	)			20			74			56
					757				739				540				148			172			(76	)
Add:
	Income taxes (benefit)				164				185				266				274			125			(29	)
	Total fixed charges as above   (excluding capitalized interest   and preferred security distributions   of subsidiaries on a pre-tax basis)				256				237				234				66			135			52
		Total earnings	$		1,177			$	1,161			$	1,040			$	488		$	432		$	(53	)
Ratio of earnings to fixed charges					4.5				4.6				3.9				5.4			2.9			(1.0	)
Deficiency																						$	106
(a)	Net income (loss) excludes minority interest, loss from discontinued operations and the cumulative effects of changes in accounting principles.
(b)	Due to the corporate realignment on July 1, 2000, data in 2000 and 1999 are not comparable to subsequent years.