Exhibit 12A
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,
1998 1997
---- ----
OPERATING REVENUES $3,226,975 $3,110,935
--------- ---------
OPERATING EXPENSES 2,525,769 2,420,586
Interest portion of rentals (A) 21,424 18,225
Fixed charges of service company
subsidiaries (B) 1,891 2,160
--------- ---------
Net expense 2,502,454 2,400,201
--------- ---------
OTHER INCOME AND DEDUCTIONS:
Allowance for funds used
during construction 4,285 4,482
Equity in undistributed earnings/(losses)
of affiliates, net 42,882 (85,995)
Other income, net 44,377 1,472
Minority interest net income (1,457) (1,035)
--------- --------
Total other income and deductions 90,087 (81,076)
--------- --------
EARNINGS AVAILABLE FOR FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS (excluding
taxes based on income) $ 814,608 $ 629,658
========= =========
FIXED CHARGES:
Interest on funded indebtedness $ 241,264 $ 172,603
Other interest (C) 49,312 50,132
Preferred stock dividends of
subsidiaries on a pretax basis (E) 13,762 18,204
Interest portion of rentals (A) 21,424 18,225
--------- ---------
Total fixed charges $ 325,762 $ 259,164
========= =========
RATIO OF EARNINGS TO FIXED CHARGES 2.50 2.43
==== ====
RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS (D) 2.50 2.43
==== ====
Exhibit 12A
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) GPU 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 consolidated income
statement. GPU 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 amount for subsidiary-obligated mandatorily redeemable preferred
securities of $21,666 for the nine month periods ended September 30, 1998
and 1997, 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:
Nine Months Ended
------------------------------
September 30, September 30,
1998 1997
---- ----
Income before provision for income taxes and
preferred stock dividends of subsidiaries $502,608 $482,658
Income before extraordinary item in 1998
and preferred stock dividends of subsidiaries 310,924 251,682
Pretax earnings ratio 161.6% 191.8%
Preferred stock dividends of subsidiaries 8,516 9,491
Preferred stock dividends of subsidiaries on
a pretax basis 13,762 18,204