Exhibit 12 Page 1 of 2 GPU, INC. AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) UNAUDITED Nine Months Ended September 30, September 30, 1996 1995 OPERATING REVENUES $2,993,411 $2,873,702 OPERATING EXPENSES 2,469,899 2,279,283 Interest portion of rentals (A) 19,061 17,784 Interest on funded indebtedness and other interest of service company subsidiaries (B) 2,912 2,696 Net expense 2,447,926 2,258,803 OTHER INCOME: Allowance for funds used during construction 8,119 10,175 Other income, net 17,300 190,172 Interest on funded indebtedness and other interest of GPU International Group (C) 17,799 452 Total other income 43,218 200,799 EARNINGS AVAILABLE FOR FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (excluding taxes based on income) $ 588,703 $ 815,698 FIXED CHARGES: Interest on funded indebtedness $ 157,919 $ 142,593 Other interest (D) 45,271 40,873 Interest portion of rentals (A) 19,061 17,784 Total fixed charges $ 222,251 $ 201,250 RATIO OF EARNINGS TO FIXED CHARGES 2.65 4.05 Preferred stock dividend requirement $ 11,776 $ 12,737 Ratio of income before provision for income taxes to net income (E) 159.7% 160.2% Preferred stock dividend requirement on a pretax basis 18,806 20,405 Fixed charges, as above 222,251 201,250 Total fixed charges and preferred stock dividends $ 241,057 $ 221,655 RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 2.44 3.68 Exhibit 12 Page 2 of 2 GPU, INC. AND SUBSIDIARY COMPANIES STATEMENTS SHOWING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS BASED ON SEC REGULATION S-K, ITEM 503 (In Thousands) UNAUDITED NOTES: (A) The Company has included the equivalent of the interest portion of all rentals charged to income as fixed charges for this statement and has excluded such components from Operating Expenses. (B) Represents fixed charges of GPU Service, Inc. and GPU Nuclear, Inc., which are accounted for as Operating Expenses in the Company's consolidated income statement. (C) Represents fixed charges of the GPU International Group, which are accounted for as Other Income and Deductions in the Company's consolidated income statement. (D) Includes dividends on subsidiary-obligated mandatorily redeemable preferred securities of $21,666 and $17,594 for the nine month periods ended September 30, 1996 and 1995, respectively. (E) Represents income before provision for income taxes and preferred stock dividends of $366,452 and $614,193 for the nine month periods ended September 30, 1996 and 1995, respectively, divided by income before preferred stock dividends of $229,475 and $383,492, respectively for the same periods.