Exhibit 12.2
8/20/99
GULF POWER COMPANY
Computation of ratio of earnings to fixed charges plus preferred
dividend requirements for the five years ended December 31, 1998
and the twelve months ended June 30, 1999
Twelve
Months
Year ended December 31, Ended
------------------------------------------------------------------------ June 30,
1994 1995 1996 1997 1998 1999
---- ---- ---- ---- ---- ----
------------------------Thousands of Dollars-------------------------------------
EARNINGS AS DEFINED IN ITEM 503 OF REGULATION S-K:
Income Before Interest Charges $ 93,407 $ 92,693 $ 94,283 $ 90,978 $ 88,747 $ 84,727
Federal and state income taxes 40,848 33,796 35,417 40,497 36,883 29,668
Deferred income taxes, net (6,987) 390 2,156 (7,047) (4,684) (463)
Deferred investment tax credits 0 0 0 0 0 0
AFUDC - Debt funds 656 187 58 5 0 0
-------- --------- ---------- -------- -------- --------
Earnings as defined $127,924 $127,066 $131,914 $124,433 $120,946 $113,932
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FIXED CHARGES AS DEFINED IN ITEM 503 OF REGULATION S-K:
Interest on long-term debt $ 27,124 $ 23,294 $ 24,691 $ 21,699 $ 19,718 $ 20,098
Interest on interim obligations 1,509 2,931 2,071 891 1,190 1,727
Amort of debt disc, premium and expense, net 1,834 2,014 2,087 2,281 2,100 1,988
Other interest charges 2,442 1,674 1,882 4,885 8,582 6,259
-------- --------- --------- -------- -------- --------
Fixed charges as defined 32,909 29,913 30,731 29,756 31,590 30,072
Tax deductible preferred dividends 156 156 156 156 112 44
-------- --------- ---------- -------- -------- --------
33,065 30,069 30,887 29,912 31,702 30,116
-------- -------- ---------- -------- -------- --------
Non-tax deductible preferred dividends 5,769 5,657 5,609 3,461 524 283
Ratio of net income before taxes to
net income x 1.554 x 1.543 x 1.591 x 1.546 x 1.563 x 1.534
--------- --------- ---------- -------- -------- --------
Pref dividend requirements before
income taxes 8,965 8,729 8,924 5,351 819 434
-------- -------- ---------- -------- -------- ---------
Fixed charges plus pref dividend
requirements $ 42,030 $ 38,798 $ 39,811 $ 35,263 $ 32,521 $ 30,550
======== ========= ========== ======== ======== ========
RATIO OF EARNINGS TO FIXED CHARGES PLUS
PREFERRED DIVIDEND REQUIREMENTS 3.04 3.28 3.31 3.53 3.72 3.73
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