Public Service Company of New Mexico PFD 4.58% (PNMXO) 10-Q 2012 Q2 Quarterly report

Exhibit 12.3
TEXAS-NEW MEXICO POWER COMPANY
Ratio of Earnings to Fixed Charges
(In thousands, except ratio)
	Six Months Ended			Year Ended December 31,
	June 30, 2012			2011				2010			2009			2008			2007
Fixed charges, as defined by the Securities and Exchange Commission:
Interest expensed and capitalized	$	13,111		$	27,914			$	28,632		$	25,609		$	17,861		$	23,523
Amortization of debt premium, discount and expenses	747			1,679				2,683			3,355			1,504			1,925
Estimated interest factor of lease rental charges	516			1,202				1,246			831			571			844
Total Fixed Charges	$	14,374		$	30,795			$	32,561		$	29,795		$	19,936		$	26,292
Earnings, as defined by the Securities and Exchange Commission:
Earnings from continuing operations before income taxes	$	17,401		$	36,138			$	26,026		$	20,151		$	2,335		$	29,055
Fixed charges as above	14,374			30,795				32,561			29,795			19,936			26,292
Interest capitalized	(261		)	(593		)		(158		)	(1,144		)	(1,025		)	(332		)
Earnings Available for Fixed Charges	$	31,514		$	66,340			$	58,429		$	48,802		$	21,246		$	55,015
Ratio of Earnings to Fixed Charges	2.19			2.15			1	1.79			1.64			1.07			2.09
1 Earnings from continuing operations before income taxes for the year ended December 31, 2011 includes a pre-tax loss of $3.9 million due to the write-off of regulatory disallowances. If that loss were excluded, the Ratio of Earnings to Fixed Charges would have been 2.28.