Exhibit 12(a) ELIZABETHTOWN WATER COMPANY AND SUBSIDIARY Computation of Ratio of Earnings to Fixed Charges (In Thousands Except Ratios) Three Months Ended Six Months Ended June 30, June 30, 1999 1998 1999 1998 EARNINGS: Net income $ 6,343 $ 5,687 $ 10,626 $10,332 Federal income taxes 3,369 3,017 5,630 5,473 Interest charges 4,163 3,878 8,028 7,714 --------------------------------- Earnings available to cover fixed charges 13,875 12,582 24,284 23,519 --------------------------------- FIXED CHARGES: Interest on long-term debt 3,862 3,713 7,619 7,337 Other interest 315 192 378 398 Amortization of debt discount - net 98 98 196 195 --------------------------------- Total fixed charges $ 4,275 $ 4,003 $ 8,193 $ 7,930 --------------------------------- Ratio of Earnings to Fixed Charges 3.25 3.14 2.96 2.97 ================================= Earnings to Fixed Charges represents the sum of Net Income, Dividends, Federal income taxes and Interest Charges (which is reduced by Allowance for Debt Funds Used During Construction), divided by Fixed Charges. Fixed Charges consist of interest on long and short-term debt (which is not reduced by Allowance for Debt Funds Used During Construction), and Amortization of debt discount.