Exhibit 12.2
2/23/98
ALABAMA POWER COMPANY
Computation of ratio of earnings to fixed charges plus preferred
dividend requirements for the five years ended December 31, 1997
and the twelve months ended January 31, 1998
Twelve
Months
Ended
Year ended December 31, January 31,
===========================================================
1993 1994 1995 1996 1997 1998
-------------------------Thousands of Dollars---------------------------
EARNINGS AS DEFINED IN ITEM 503 OF REGULATION S-K:
Income Before Interest Charges $608,050 $594,669 $628,304 $627,627 $645,449 $645,736
Federal and state income taxes 167,021 242,569 186,856 191,167 222,956 233,123
Deferred income taxes, net 34,467 (32,536) 32,047 16,715 (12,879) (25,215)
Deferred investment tax credits (2,106) (4) (75) - - -
AFUDC - Debt funds 3,016 3,590 7,109 6,517 4,855 4,759
--------- --------- --------- --------- --------- ---------
Earnings as defined $810,448 $808,288 $854,241 $842,026 $860,381 $858,403
========= ========= ========= ========= ========= =========
FIXED CHARGES AS DEFINED IN ITEM 503 OF REGULATION S-K:
Interest on long-term debt $186,779 $180,182 $183,199 $171,689 $169,536 $169,984
Interest on interim obligations 3,760 5,939 16,917 20,617 22,787 23,242
Amort of debt disc, premium and expense, net 8,999 9,655 20,270 9,520 9,657 9,681
Other interest charges 35,475 19,909 27,064 34,227 57,799 60,792
--------- --------- --------- --------- --------- ---------
Fixed charges as defined 235,013 215,685 247,450 236,053 259,779 263,699
Tax deductible preferred dividends 1,830 1,605 1,605 1,605 1,589 1,559
--------- --------- --------- --------- --------- ---------
236,843 217,290 249,055 237,658 261,368 265,258
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Non-tax deductible preferred dividends 27,729 24,630 25,464 24,997 12,997 11,960
Ratio of net income before taxes to net income x 1.530 x 1.549 x 1.564 x 1.522 x 1.538 x 1.538
--------- --------- --------- --------- --------- ---------
Pref dividend requirements before income taxes 42,425 38,152 39,826 38,045 19,989 18,394
--------- --------- --------- --------- --------- ---------
Fixed charges plus pref dividend requirements $279,268 $255,442 $288,881 $275,703 $281,357 $283,652
========= ========= ========= ========= ========= =========
RATIO OF EARNINGS TO FIXED CHARGES PLUS
PREFERRED DIVIDEND REQUIREMENTS 2.90 3.16 2.96 3.05 3.06 3.03
Note: The above figures have been adjusted to give effect to Alabama Power
Company's 50% ownership of Southern Electric Generating Company.