PPL Electric Utilities 10-Q 2007 Q3 Quarterly report

Exhibit 12(b)
PPL ENERGY SUPPLY, LLC AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (Millions of Dollars)
	9 Months Ended September 30,			12 Months Ended December 31,
	2007			2006			2005		2004			2003		2002
Earnings, as defined:
Net income (a)	$	703		$	678		$	567	$	641		$	779	$	177
Preferred security dividend requirement													5		9
Less undistributed income (loss)   of equity method investments					4			2							(8	)
Income taxes		139			187			81		210			183		274
Total fixed charges as below (excluding capitalized interest, preferred security distributions of subsidiaries on a pre-tax basis and interest expense related to discontinued operations)		235			276			272		262			209		212
Total earnings	$	1,077		$	1,137		$	918	$	1,113		$	1,176	$	680
Fixed charges, as defined:
Interest on long-term debt	$	265		$	296		$	259	$	255		$	149	$	169
Interest on short-term debt and other interest		15			16			26		23			25		52
Amortization of debt discount, expense and premium - net		(2	)		(1	)		7		(6	)		31		9
Estimated interest component of operating rentals		13			15			15		17			31		21
Preferred securities distributions of subsidiaries on a pre-tax basis													8		12
Total fixed charges (b)	$	291		$	326		$	307	$	289		$	244	$	263
Ratio of earnings to fixed charges		3.7			3.5			3.0		3.9			4.8		2.6

(a)	Net income excludes minority interest, discontinued operations and the cumulative effects of changes in accounting principles.
(b)	Interest on unrecognized tax benefits is not included in fixed charges.