EXHIBIT 12.1
Central Power and Light Company
Ratio of Earnings to Fixed Charges
For Years Ended December 31,
1997 1996 1995 1994 1993
-------- -------- -------- -------- --------
(thousands, except ratios)
Operating income $251,367 $285,647 $282,184 $256,251 $190,079
Adjustments:
Income taxes 39,329 47,227 51,755 51,329 (18,954)
Provision for deferred
income taxes 34,484 51,476 (30,025) 26,659 90,520
Deferred investment tax credits (4,819) (5,553) (5,789) (5,789) (5,806)
Charges for investments and plant
development costs, net of tax (1,281) (15,569) -- -- --
Other income and deductions 7,834 3,997 14,880 1,272 1,663
Allowance for borrowed and equity
funds used during construction 3,778 1,845 4,514 3,689 2,618
Mirror CWIP amortization -- -- 41,000 68,000 75,702
-------- -------- -------- -------- --------
Earnings $330,692 $369,070 $358,519 $401,411 $335,822
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Fixed charges:
Interest on long-term debt $105,081 $110,375 $116,205 $111,408 $112,939
Interest on short-term debt and other 20,613 18,494 19,926 12,365 11,993
Distributions on Trust Preferred
Securities 7,533 -- -- -- --
-------- -------- -------- -------- --------
Fixed charges $133,227 $128,869 $136,131 $123,773 $124,932
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Ratio of earnings to fixed charges 2.48 2.86 2.63 3.24 2.69(1)
(1) The ratio of earnings to fixed charges for 1993 was calculated before
cumulative effect of change in accounting principles.