SOUTHERN CALIFORNIA EDISON COMPANY AND CONSOLIDATED UTILITY-RELATED SUBSIDIARIES
RATIOS OF EARNINGS TO FIXED CHARGES
(Thousands of Dollars)
Year Ended December 31,
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1998 1999 2000 2001 2002 2003
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EARNINGS BEFORE INCOME TAXES
AND FIXED CHARGES:
Income before interest expense (1) $ 999,910 $ 992,354 $ (1,456,584) $ 3,192,815 $ 1,831,335 $ 1,339,147
Add:
Taxes on income (2) 442,356 438,006 (1,021,452) 1,658,033 641,786 388,120
Rentals (3) 2,208 1,901 2,905 2,128 1,240 638
Allocable portion of interest
on long-term Contracts for
the purchase of power (4) 1,767 1,735 1,699 1,659 1,616 1,568
Amortization of previously capitalized
fixed charges 1,571 1,508 1,390 1,083 1,440 1,638
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Total earnings before income
taxes and fixed charges (A) $ 1,447,812 $ 1,435,504 $ (2,472,042) $ 4,855,718 $ 2,477,417 $ 1,731,111
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FIXED CHARGES:
Interest and amortization $ 484,788 $ 482,933 $ 571,760 $ 784,858 $ 584,442 $ 451,792
Rentals (3) 2,208 1,901 2,905 2,128 1,240 638
Capitalized fixed charges -
nuclear fuel (5) 1,294 1,211 1,538 756 520 97
Allocable portion of interest on
long-term contracts for
the purchase of power (4) 1,767 1,735 1,699 1,659 1,616 1,568
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Total fixed charges (B) $ 490,057 $ 487,780 $ 577,902 $ 789,401 $ 587,818 $ 454,095
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RATIO OF EARNINGS TO
FIXED CHARGES (A) / (B): 2.95 2.94 (4.28)(6) 6.15 4.21 3.81
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(1) Includes allowance for funds used during construction and accrual of unbilled revenue.
(2) Includes allocation of federal income and state franchise taxes to other income.
(3) Rentals include the interest factor relating to certain significant rentals plus one-third of all remaining annual rentals.
(4) Allocable portion of interest included in annual minimum debt service requirement of supplier.
(5) Includes fixed charges associated with Nuclear Fuel.
(6) Ratio for 2000 is less than 1.00. In 2000, SCE needed an additional $3,049,944,000 in earnings before income taxes
and fixed charges to achieve a 1.00 ratio.
