Exhibit 12 (c) 1 1 SOUTHWESTERN ELECTRIC POWER COMPANY RATIO OF EARNINGS TO FIXED CHARGES FOR YEARS ENDED DECEMBER 31 1994 1993 1992 1991 1990 (thousands except ratios) Operating income $145,922 $118,057 $145,727 $143,317 $146,586 Adjustments: Federal and state income taxes 20,622 37,108 31,478 39,785 41,287 Provision for deferred federal and state income taxes 22,248 (648) 10,258 5,566 2,097 Deferred investment tax credits (4,278) (5,193) (6,864) (4,938) (4,934) Other income and deductions 4,656 3,658 537 3,883 2,492 Allowance for borrowed and equity funds used during construction 6,097 2,580 182 978 575 Interest portion of financing leases 2,562 2,534 2,783 2,946 3,067 Earnings $197,829 $158,096 $184,101 $191,537 $191,170 Fixed charges: Interest on long-term debt $43,395 $40,958 $47,490 $48,382 $51,225 Interest on short-term debt and other 7,568 4,866 4,073 3,172 8,715 Interest portion of financing leases 2,562 2,534 2,783 2,946 3,067 Fixed Charges $53,525 $48,358 $54,346 $54,500 $63,007 Ratio of Earnings to Fixed Charges 3.70 3.27 3.39 3.51 3.03