EXHIBIT 12 COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES UNAUDITED Twelve Months Fiscal Year Ended September 30 Ended ------------------------------------------------------- March 31, 1999 1998 1997 1996 1995 1994 ------------------------------------------------------------------------------ (Thousands of Dollars) EARNINGS: Income Before Interest Charges and Minority Interest in Foreign Subsidiaries (2) $201,828 $118,085 $169,783 $159,599 $128,061 $127,885 Allowance for Borrowed Funds Used in Construction 272 110 346 205 195 209 Federal Income Tax 16,084 43,626 57,807 55,148 30,522 36,630 State Income Tax 5,906 6,635 7,067 7,266 4,905 6,309 Deferred Inc. Taxes - Net (3) 41,411 (26,237) 3,800 3,907 8,452 4,853 Investment Tax Credit - Net (698) (663) (665) (665) (672) (682) Rentals (1) 4,269 4,672 5,328 5,640 5,422 5,730 -------- ------- -------- -------- -------- -------- $269,072 $146,228 $243,466 $231,100 $176,885 $180,934 ======== ======== ======== ======== ======== ======== FIXED CHARGES: Interest & Amortization of Premium and Discount of Funded Debt $63,724 $53,154 $42,131 $40,872 $40,896 $36,699 Interest on Commercial Paper and Short-Term Notes Payable 17,372 13,605 8,808 7,872 6,745 5,599 Other Interest (2) 3,936 16,919 4,502 6,389 4,721 3,361 Rentals (1) 4,269 4,672 5,328 5,640 5,422 5,730 ------- ------- ------- ------- ------- ------- $89,301 $88,350 $60,769 $60,773 $57,784 $51,389 ======= ======= ======= ======= ======= ======= RATIO OF EARNINGS TO FIXED CHARGES 3.01 1.66 4.01 3.80 3.06 3.52 Notes: (1) Rentals shown above represent the portion of all rentals (other than delay rentals) deemed representative of the interest factor. (2) Twelve months ended March 31, 1999 and, fiscal 1998, 1997, 1996, 1995 and 1994 reflect the reclassification of $1,786, $1,716, $1,716, $1,716, $1,716 and $1,674, representing the loss on reacquired debt amortized during each period, from Other Interest Charges to Operation Expense. (3) Deferred Income Taxes - Net for fiscal 1998 and 1994 exclude the cumulative effect of changes in accounting.