EXHIBIT 12.3
PECO Energy Company
Ratio of Earnings to Fixed Charges
Years Ended December 31, | Nine Months September 30, 2007 | |||||||||||||||||
2002 | 2003 | 2004 | 2005 | 2006 | ||||||||||||||
Pre-tax income from continuing operations before adjustment for income or loss from equity investees and minority interest | 745 | 726 | 704 | 767 | 621 | 604 | ||||||||||||
Plus: (Income) or loss from equity investees | (1 | ) | — | 25 | 16 | 9 | 5 | |||||||||||
Less: Capitalized interest | — | (1 | ) | (1 | ) | (1 | ) | (3 | ) | (2 | ) | |||||||
Pre-tax income from continuing operations after adjustment for income or loss from equity investees, minority interest, and capitalized interest | 744 | 725 | 728 | 782 | 627 | 607 | ||||||||||||
Fixed charges: | ||||||||||||||||||
Interest expensed and capitalized, amortization of debt discount and premium on all indebtness | 370 | 325 | 304 | 280 | 269 | 190 | ||||||||||||
Interest component of rental expense (a) | 2 | 2 | 1 | 1 | 1 | 6 | ||||||||||||
Distributions on mandatorily redeemable preferred securities | 2 | 3 | — | — | — | — | ||||||||||||
Total fixed charges | 374 | 330 | 305 | 281 | 270 | 196 | ||||||||||||
Pre-tax income from continuing operations after adjustment for income or loss from equity investees and capitalized interest plus fixed charges | 1,118 | 1,055 | 1,033 | 1,063 | 897 | 803 | ||||||||||||
Ratio of earnings to combined fixed charges and preferred stock dividends | 3.0 | 3.2 | 3.4 | 3.8 | 3.3 | 4.1 |
(a) | Represents one-third of rental expense relating to operating leases. |