PPL (PPL) 10-Q 2002 Q3 Quarterly report

Exhibit 12(a)
PPL CORPORATION AND SUBSIDIARIES COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Millions of Dollars)
					12 Months Ended September 30,			12 Months Ended December 31, (c)
					2002			2001		2000		1999		1998		1997
Fixed charges, as defined:
	Interest on long-term debt				$	474		$	351	$	323	$	233	$	203	$	196
	Interest on short-term debt and   other interest					55			44		64		47		33		26
	Amortization of debt discount,   expense and premium - net					20			17		5		4		2		2
	Interest on capital lease obligations
			Charged to expense								4		9		8		9
			Capitalized										1		2		2
	Estimated interest component of   operating rentals					37			36		25		20		18		15
	Preferred stock dividends of   subsidiaries on a pre-tax basis					81			64		31		30		31		33
				Total fixed charges	$	667		$	512	$	452	$	344	$	297	$	283
Earnings, as defined:
	Net income (loss) (a)				$	(10	)	$	167	$	491	$	492	$	379	$	296
	Preferred security dividend   requirements					69			52		26		26		25		24
	Less undistributed income (loss) of   equity method investments					17			20		74		56		3		(25	)
						42			199		443		462		401		345
Add:
	Income taxes					208			261		294		174		259		238
	Amortization of capitalized interest   on capital leases										2		2		2		2
	Total fixed charges as above   (excluding capitalized interest,   capitalized interest on   capital lease obligations and   preferred stock dividends of   subsidiaries on a pre-tax basis)					563			419		405		307		257		239
				Total earnings	$	813		$	879	$	1,144	$	945	$	919	$	824
Ratio of earnings to fixed charges						1.2			1.7		2.5		2.7		3.1		2.9
Ratio of earnings to combined fixed   charges and preferred stock   dividends (b)						1.2			1.7		2.5		2.7		3.1		2.9
(a)		Net income (loss) excludes extraordinary items, minority interest and the cumulative effect of a change in accounting principle.
(b)		PPL, the parent holding company, does not have any preferred stock outstanding; therefore, the ratio of earnings to combined fixed charges and preferred stock dividends is the same as the ratio of earnings to fixed charges.
(c)		Ratio of earnings to fixed charges for years 2001 and prior were recalculated to give proper effect of preferred security dividends of subsidiaries on a pre-tax basis.