EXHIBIT 12 KENTUCKY UTILITIES COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Year Ended December 31, 1995 1994 1993 1992 1991 (in thousands except ratios) Earnings Net Income $ 76,842 $ 77,512 $ 81,286 $ 76,298 $ 84,755 Adjustments Fixed charges 40,116 34,558 32,899 40,965 38,185 Income taxes Current Federal 23,597 37,058 35,893 30,838 37,241 Current State 5,134 8,812 9,484 7,951 9,252 Deferred Federal--Net 12,165 (1,114) 2,837 2,269 570 Deferred State--Net 3,845 13 71 561 160 Deferred investment tax credit--Net (71) (86) (107) (130) (654) Income taxes included in Other Income and Deductions Current Fed and State 1,044 1,881 (2,616) (224) 2,085 Deferred Fed and State (508) (458) 2,817 1,144 (458) Amortization of investment credit (4,024) (4,024) (4,024) (4,019) (3,723) Undistributed income of Electric Energy, Inc 99 (39) (38) (53) 5 Total Earnings $158,239 $ 154,113 $158,502 $ 155,600 $167,418 Fixed Charges Int on long-term debt $ 36,095 $ 32,147 $ 31,650 $ 39,571 $ 36,559 Other interest charges 4,021 2,411 1,249 1,394 1,626 Total Fixed Charges $ 40,116 $ 34,558 $ 32,899 $ 40,965 $ 38,185 Ratio of Earnings to Fixed Charges 3.94 4.46 4.82 3.80 4.38 ____________ Note--Rentals are not material and have not been included in fixed charges. -91-