EXHIBIT 12
PUBLIC SERVICE COMPANY OF OKLAHOMA
Computation of Consolidated Ratios of Earnings to Fixed Charges
(in thousands except ratio data)
Year Ended December 31, | ||||||||||||||||
2000 | 2001 | 2002 | 2003 | 2004 | ||||||||||||
FIXED CHARGES | ||||||||||||||||
Interest on Long-term Debt | $ | 26,473 | $ | 29,305 | $ | 28,401 | $ | 39,631 | $ | 35,152 | ||||||
Interest on Short-term Debt | 10,902 | 9,513 | 6,508 | 2,511 | 3,021 | |||||||||||
Distributions on Trust Preferred Securities | 6,000 | 6,000 | 6,000 | 3,000 | - | |||||||||||
Estimated Interest Element in Lease Rentals | 1,090 | 1,337 | 1,468 | 1,645 | 1,300 | |||||||||||
Total Fixed Charges | $ | 44,465 | $ | 46,155 | $ | 42,377 | $ | 46,787 | $ | 39,473 | ||||||
EARNINGS | ||||||||||||||||
Net Income | $ | 66,663 | $ | 57,759 | $ | 41,060 | $ | 53,891 | $ | 37,542 | ||||||
Plus Federal Income Taxes | 8,571 | 45,484 | (43,956 | ) | 47,581 | (12,145 | ) | |||||||||
Plus State Income Taxes | 1,721 | 8,928 | (7,529 | ) | 6,688 | (289 | ) | |||||||||
Plus Provision for Deferred Income Taxes | 25,453 | (17,751 | ) | 75,659 | (14,641 | ) | 22,034 | |||||||||
Plus Deferred Investment Tax Credits | (1,791 | ) | (1,791 | ) | (1,791 | ) | (1,790 | ) | (1,791 | ) | ||||||
Plus Fixed Charges | 44,465 | 46,155 | 42,377 | 46,787 | 39,473 | |||||||||||
Total Earnings | $ | 145,082 | $ | 138,784 | $ | 105,820 | $ | 138,516 | $ | 84,824 | ||||||
Ratio of Earnings to Fixed Charges | 3.26 | 3.00 | 2.49 | 2.96 | 2.14 |
* Certain amounts have been reclassified between interest on short-term and long-term debt compared to periods prior to January 1, 2002. This reclassification had no effect on the ratio.
* Certain amounts have been reclassified between Distributions on Trust Preferred Securities and Interest on Long-term Debt due to the implementation of FIN 46R "Consolidation of Variable Interest Entities" effective March 31, 2004, on a prospective basis. This reclassification had no effect on this ratio.