Exhibit 12-A
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)
Twelve Months Ended December 31,
1997 1996 1995 1994 1993
---------- ---------- ---------- ---------- -------
OPERATING REVENUES $ 4,143,379 $ 3,970,711 $ 3,822,459 $ 3,654,211 $ 3,599,371
----------- ----------- ----------- ----------- -----------
OPERATING EXPENSES 3,272,644 3,292,796 3,080,614 3,017,888 2,872,538
Interest portion
of rentals (A) 26,108 26,093 27,362 24,655 25,536
Fixed charges of
service company
subsidiaries (B) 3,121 3,695 3,666 3,637 4,204
----------- ----------- ----------- ----------- -----------
Net expense 3,243,415 3,263,008 3,049,586 2,989,596 2,842,798
----------- ----------- ----------- ----------- -----------
OTHER INCOME AND DEDUCTIONS:
Allowance for funds
used during
construction 5,583 10,672 14,671 11,827 9,936
Equity in undistributed
earnings/(losses) of
affiliates (27,100) 33,981 (3,597) (1,014) (914)
Other income/
(expense), net 5,585 23,490 215,007 (146,958) (5,539)
Minority interest
net income (1,337) (2,701) (922) -- --
----------- ----------- ----------- ----------- -----------
Total other income
and deductions (17,269) 65,442 225,159 (136,145) 3,483
----------- ----------- ----------- ----------- -----------
EARNINGS AVAILABLE FOR FIXED
CHARGES AND PREFERRED
STOCK DIVIDENDS
(excluding taxes
based on income) $ 882,695 $ 773,145 $ 998,032 $ 528,470 $ 760,056
=========== =========== =========== =========== ===========
FIXED CHARGES:
Interest on funded
indebtedness $ 249,026 $ 216,352 $ 192,488 $ 186,259 $ 191,142
Other interest (C) 66,400 59,398 56,396 47,498 21,525
Preferred stock dividends
of subsidiaries on a
pretax basis (E) 19,500 24,008 26,756 30,314 46,270
Interest portion
of rentals (A) 26,108 26,093 27,362 24,655 25,536
----------- ----------- ----------- ----------- -----------
Total fixed
charges $ 361,034 $ 325,851 $ 303,002 $ 288,726 $ 284,473
=========== =========== =========== =========== ===========
RATIO OF EARNINGS
TO FIXED CHARGES 2.44 2.37 3.29 1.83 2.67
=========== =========== =========== =========== ===========
RATIO OF EARNINGS
TO COMBINED FIXED
CHARGES AND PREFERRED
STOCK DIVIDENDS (D) 2.44 2.37 3.29 1.83 2.67
=========== =========== =========== =========== ===========
Exhibit 12-A
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)
<FN>
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. The Company has removed the fixed
charges from operating expenses and included such amounts in fixed
charges as interest on funded indebtedness and other interest for this
statement.
(C) Includes dividends on subsidiary-obligated mandatorily redeemable
preferred securities of $28,888, $28,888, $24,816 and $7,692
for the years 1997, 1996, 1995 and 1994, respectively.
(D) GPU Inc., the parent holding company, does not have any preferred stock
outstanding, therefore, the ratio of earnings to combined fixed charges
and preferred stock dividends is the same as the ratio of earnings to
fixed charges.
(E) Calculation of preferred stock dividends of subsidiaries on a pretax
basis is as follows:
</FN>
Twelve Months Ended December 31,
1997 1996 1995 1994 1993
---------- ---------- ---------- ---------- -------
Income before provision
for income taxes and
preferred stock dividends
of subsidiaries and
gain on preferred
stock reacquisition $541,161 $471,302 $721,786 $270,058 $521,853
Income before preferred
stock dividends of
subsidiaries and gain
on preferred stock
reacquisition 347,625 304,583 457,080 184,380 324,430
Pretax earnings ratio 155.7% 154.7% 157.9% 146.5% 160.9%
Preferred stock dividends
of subsidiaries 12,524 15,519 16,945 20,692 28,757
Preferred stock dividends
of subsidiaries on
a pretax basis 19,500 24,008 26,756 30,314 46,270