EXHIBIT 12.3
SIERRA PACIFIC POWER COMPANY
RATIOS OF EARNINGS TO FIXED CHARGES
(Dollars in Thousands)
Three Months Ended March 31, | Year Ended December 31, | |||||||||||||||||||||||||||
2011 | 2010 | 2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||||||||
EARNINGS AS DEFINED: | ||||||||||||||||||||||||||||
Net Income | $ | 16,576 | $ | 17,120 | $ | 72,375 | $ | 73,085 | $ | 90,582 | $ | 65,667 | $ | 57,709 | ||||||||||||||
Income Taxes | 8,318 | 7,676 | 40,404 | 31,225 | 37,603 | 26,009 | 27,829 | |||||||||||||||||||||
Fixed Charges | 17,834 | 18,700 | 72,815 | 74,955 | 84,478 | 75,655 | 79,093 | |||||||||||||||||||||
Capitalized Interest (allowance for borrowed funds used during construction) | (420 | ) | (407 | ) | (1,912 | ) | (3,044 | ) | (9,464 | ) | (12,771 | ) | (5,505 | ) | ||||||||||||||
Total | $ | 42,308 | $ | 43,089 | $ | 183,682 | $ | 176,221 | $ | 203,199 | $ | 154,560 | $ | 159,126 | ||||||||||||||
FIXED CHARGES AS DEFINED: | ||||||||||||||||||||||||||||
Interest Expensed and Capitalized (1) | $ | 17,834 | $ | 18,700 | $ | 72,815 | $ | 74,955 | $ | 84,478 | $ | 75,655 | $ | 79,093 | ||||||||||||||
Total | $ | 17,834 | $ | 18,700 | $ | 72,815 | $ | 74,955 | $ | 84,478 | $ | 75,655 | $ | 79,093 | ||||||||||||||
RATIO OF EARNINGS TO FIXED CHARGES | 2.37 | 2.30 | 2.52 | 2.35 | 2.41 | 2.04 | 2.01 |
(1) | Includes amortization of premiums, discounts, and capitalized debt expense and interest component of rent expense. |
For the purpose of calculating the ratios of earnings to fixed charges, “Earnings” represent net income before, solely with respect to the year ended December 31, 2006, pre-tax preferred stock dividend requirement adjusted for income taxes and fixed charges excluding capitalized interest. “Fixed charges” represent the aggregate of interest charges on long-term debt (whether expensed or capitalized) and the portion of rental expense deemed attributable to interest.