Exhibit 99(a)
Arkansas Power and Light Company
Computation of Ratios of Earnings to Fixed Charges and
Ratios of Earnings to Combined Fixed Charges and Preferred Dividends
Twelve Months Ended
December 31, March 31,
1990 1991 1992 1993 1994 1995
(In Thousands, Except for Ratios)
Fixed charges, as defined:
Interest on long-term debt $132,607 $133,854 $120,317 $107,771 $101,439 $102,017
Interest on notes payable 1,027 -- 117 349 1,311 1,086
Amortization of expense and premium on debt-net(cr) 1,792 1,112 1,359 2,702 4,563 4,574
Other interest 1,567 1,303 2,308 8,769 3,501 6,133
Interest applicable to rentals 24,233 21,969 17,657 16,860 19,140 19,282
----------------------------------------------------------
Total fixed charges, as defined 161,226 158,238 141,758 136,451 129,954 133,092
Preferred dividends, as defined (a) 30,851 31,458 32,195 30,334 23,234 23,321
----------------------------------------------------------
Combined fixed charges and preferred dividends, as defined $192,077 $189,696 $173,953 $166,785 $153,188 $156,413
==========================================================
Earnings as defined:
Net Income $129,765 $143,451 $130,529 $205,297 $142,263 $127,936
Add:
Provision for income taxes:
Federal & State 50,921 44,418 57,089 58,162 83,300 71,813
Deferred - net 17,943 11,048 3,490 34,748 (17,939) (7,643)
Investment tax credit adjustment - net (12,022) (1,600) (9,989) (10,573) (36,141) (34,687)
Fixed charges as above 161,226 158,238 141,758 136,451 129,954 133,092
----------------------------------------------------------
Total earnings, as defined $347,833 $355,555 $322,877 $424,085 $301,437 $290,511
==========================================================
Ratio of earnings to fixed charges, as defined 2.16 2.25 2.28 3.11 2.32 2.18
==========================================================
Ratio of earnings to combined fixed charges and
preferred dividends, as defined 1.81 1.87 1.86 2.54 1.97 1.86
==========================================================
- ------------------------
(a) "Preferred dividends," as defined by SEC regulation S-K, are computed by
dividing the preferred dividend requirement by one hundred percent (100%)
minus the income tax rate.