Exhibit 12-A
Delmarva Power & Light Company
Ratio of Earnings to Fixed Charges
----------------------------------
(Dollars in Thousands)
12 Months
Ended
September 30, Year Ended December 31,
-----------------------------------------------------------
1997 1996 1995 1994 1993 1992
-------- -------- -------- -------- -------- --------
Net income $104,885 $116,187 $117,488 $108,310 $111,076 $98,526
-------- -------- -------- -------- -------- --------
Income taxes 73,281 78,340 75,540 67,613 67,102 54,834
-------- -------- -------- -------- -------- --------
Fixed charges:
Interest on long-term debt
including amortization of
discount, premium and
expense 76,008 69,329 65,572 61,128 62,651 66,976
Other interest 13,004 12,516 10,353 9,336 9,245 8,449
Preferred dividend require-
ments of a subsidiary
trust 5,656 1,390 - - - -
-------- -------- -------- -------- -------- --------
Total fixed charges 94,668 83,235 75,925 70,464 71,896 75,425
-------- -------- -------- -------- -------- --------
Nonutility capitalized interest (287) (311) (304) (256) (246) (231)
-------- -------- -------- -------- -------- --------
Earnings before income taxes
and fixed charges $272,547 $277,451 $268,649 $246,131 $249,828 $228,554
======== ======== ======== ======== ======== =========
Ratio of earnings to fixed charge 2.88 3.33 3.54 3.49 3.47 3.03
For purposes of computing the ratio, earnings are net income plus income
taxes and fixed charges, less nonutility capitalized interest. Fixed
charges consist of interest on long- and short-term debt, amortization of
debt discount, premium, and expense, dividends on preferred securities of
a subsidiary trust, plus the interest factor associated with the Company's
major leases, and one-third of the remaining annual rentals.
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Exhibit 12-B
Delmarva Power & Light Company
Ratio of Earnings to Fixed Charges and Preferred Dividends
----------------------------------------------------------
(Dollars in Thousands)
12 Months
Ended
September 30, Year Ended December 31,
-------------------------------------------------------
1997 1996 1995 1994 1993 1992
--------- -------- -------- -------- -------- --------
Net income $104,885 $116,187 $117,488 $108,310 $111,076 $98,526
--------- -------- -------- -------- -------- --------
Income taxes 73,281 78,340 75,540 67,613 67,102 54,834
--------- -------- -------- -------- -------- --------
Fixed charges:
Interest on long-term debt
including amortization of
discount, premium and
expense 76,008 69,329 65,572 61,128 62,651 66,976
Other interest 13,004 12,516 10,353 9,336 9,245 8,449
Preferred dividend require-
ments of a subsidiary
trust 5,656 1,390 - - - -
--------- -------- -------- -------- -------- --------
Total fixed charges 94,668 83,235 75,925 70,464 71,896 75,425
--------- ------- -------- -------- -------- --------
Nonutility capitalized interest (287) (311) (304) (256) (246) (231)
--------- -------- -------- -------- -------- --------
Earnings before income taxes
and fixed charges $272,547 $277,451 $268,649 $246,131 $249,828 $228,554
========= ======== ======== ======== ======== ========
Fixed charges $94,668 $83,235 $75,925 $70,464 $71,896 $75,425
Preferred dividend requirements 8,551 14,961 16,185 15,948 14,803 15,785
--------- -------- -------- -------- -------- --------
$103,219 $98,196 $92,110 $86,412 $86,699 $91,210
========= ======== ======== ======== ======== ========
Ratio of earnings to fixed charges
and preferred dividends 2.64 2.83 2.92 2.85 2.88 2.51
For purposes of computing the ratio, earnings are net income plus income
taxes and fixed charges, less nonutility capitalized interest. Fixed
charges consist of interest on long- and short-term debt, amortization of
debt discount, premium, and expense, dividends on preferred securities of
a subsidiary trust, plus the interest factor associated with the Company's
major leases, and one-third of the remaining annual rentals. Preferred
dividend requirements represent annualized preferred dividend requirements
multiplied by the ratio that pre-tax income bears to net income.
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