Exhibit 12
INDIANAPOLIS POWER & LIGHT COMPANY
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
Years Ended December 31, Year to Date
(in thousands, except ratios) September 30
================================================================== ============
1992 1993 1994 1995 1996 1997
Fixed charges and preferred stock
dividends, as defined:
Interest on long-term debt $ 42,663 $ 41,399 $ 45,566 $ 45,656 $ 43,425 $ 29,102
Other interest 1,251 2,305 1,497 4,728 3,638 994
Amortization of debt premium
expense -- net 620 787 1,101 1,212 1,344 1,253
Estimated interest factor
attributable to rents 301 164 138 182 164 127
------------------------------------------------------------------ ------------
Total fixed charges 44,835 44,655 48,302 51,778 48,571 31,476
Preferred stock dividends * 4,949 4,926 4,773 4,704 4,838 3,734
------------------------------------------------------------------ ------------
Total fixed charges and preferred
stock dividends, as defined $ 49,784 $ 49,581 $ 53,075 $ 56,482 $ 53,409 $ 35,210
================================================================== ============
Earnings, as defined:
Net income $ 93,058 $ 102,766 $ 103,823 $ 106,273 $ 122,588 $ 108,456
Add:
Federal and state income tax
provisions 54,476 59,273 54,720 53,568 67,267 61,328
Fixed charges, as above 44,835 44,655 48,302 51,778 48,571 35,210
------------------------------------------------------------------ ------------
Total earnings,
as defined $ 192,369 $ 206,694 $ 206,845 $ 211,619 $ 238,426 $ 204,994
================================================================== ============
Ratio of earnings to combined fixed
charges and preferred stock dividends 3.86 4.17 3.90 3.75 4.46 5.82
================================================================== ============
The Selected Financial Information of the Company set forth above as of September 30, 1997 is unaudited.
* Preferred stock dividends were increased to an amount representing the pre-tax earnings which would be required to
cover such dividend requirements.