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,
1999 1998
------------ ------------
OPERATING REVENUES $3,385,689 $3,226,975
--------- ---------
OPERATING EXPENSES 2,578,059 2,525,769
Interest portion of rentals (A) 24,969 21,424
Fixed charges of service company
subsidiaries (B) 4,165 1,891
--------- ---------
Net expense 2,548,925 2,502,454
--------- ---------
OTHER INCOME AND DEDUCTIONS:
Allowance for funds used
during construction 3,204 4,285
Equity in undistributed earnings
of affiliates, net 79,370 42,882
Other income, net 77,283 44,377
Minority interest net income (1,796) (1,457)
--------- -------
Total other income and deductions 158,061 90,087
--------- --------
EARNINGS AVAILABLE FOR FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS (excluding
taxes based on income) $ 994,825 $ 814,608
========= =========
FIXED CHARGES:
Interest on funded indebtedness $ 286,672 $ 241,264
Other interest (C) 46,455 49,312
Preferred stock dividends of
subsidiaries on a pretax basis (E) 13,934 13,762
Interest portion of rentals (A) 24,969 21,424
--------- ---------
Total fixed charges $ 372,030 $ 325,762
========= =========
RATIO OF EARNINGS TO FIXED CHARGES 2.67 2.50
==== ====
RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS (D) 2.67 2.50
==== ====
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 GPU's 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 $19,752 and $21,666 for the nine month periods
ended September 30, 1999 and 1998, respectively and amount for trust
preferred securities of $4,673 for the nine month period ended September
30, 1999.
(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,
1999 1998
--------- -----------
Income before provision for income taxes and
preferred stock dividends of subsidiaries $636,729 $502,608
Income before extraordinary item in 1998 and
preferred stock dividends of subsidiaries 394,156 310,924
Pretax earnings ratio 161.5% 161.6%
Preferred stock dividends of subsidiaries 8,628 8,516
Preferred stock dividends of subsidiaries on
a pretax basis 13,934 13,762