EXHIBIT 12.2
Public Service Company of Oklahoma
Consolidated Ratio of Earnings to Fixed Charges
For Years Ended December 31,
1996 1995 1994 1993(2) 1992
--------- --------- --------- -------- --------
(thousands, except ratios)
Operating income $101,737 $111,769 $98,258 $72,156 $78,096
Adjustments:
Income taxes 25,257 37,490 27,954 13,554 (835)
Provision for deferred
income taxes (1,328) 2,704 7,779 9,537 21,157
Deferred investment tax credits (2,784) (2,789) (2,789) (2,838) (2,711)
Reserve for utility plant costs,
net of tax (35,708) -- -- -- --
Other income and deductions (95) 2,274 933 531 (940)
Allowance for borrowed and equity
funds used during construction 1,722 3,734 2,513 1,948 740
Interest portion of financing
leases -- -- -- 17 37
========= ========= ========= ======== ========
Earnings $88,801 $155,182 $134,648 $94,905 $95,544
========= ========= ========= ======== ========
Fixed charges:
Interest on long-term debt $30,555 $29,594 $29,594 $31,410 $30,688
Interest on short-term debt
and other 5,623 6,355 3,844 2,729 1,646
Interest portion of financing
leases -- -- -- 17 37
========= ========= ========= ======== ========
Fixed charges $36,178 $35,949 $33,438 $34,156 $32,371
========= ========= ========= ======== ========
Ratio of earnings to fixed charges 2.45 (1) 4.32 4.03 2.78 (3) 2.95
(1) Earnings in 1996 reflect a $35.7 million one-time charge, net of tax,
associated with certain investments for plant sites, engineering studies
and lignite reserves.
(2) Earnings in 1993 were significantly affected by restructuring charges, the
$6 million cumulative effect of changes in accounting principles and the
establishment of reserves for fuel and other properties.
(3) The ratio of earnings to fixed charges for 1993 was calculated before
cumulative effect of changes in accounting principles.