EXHIBIT 12
AVISTA CORPORATION
Computation of Ratio of Earnings to Fixed Charges and Preferred Dividend
Requirements
Consolidated
(Thousands of Dollars)
12 months
ended Years Ended December 31
June 30, ---------------------------------------
2003 2002 2001 2000 1999
--------- -------- -------- -------- --------
Fixed charges, as defined:
Interest expense $ 87,832 $ 96,005 $100,180 $ 64,765 $ 61,666
Amortization of debt expense
and premium - net 8,060 8,861 5,639 3,409 3,044
Interest portion of rentals 5,970 6,140 5,140 4,324 4,645
--------- -------- -------- -------- --------
Total fixed charges $ 101,862 $111,006 $110,959 $ 72,498 $ 69,355
========= ======== ======== ======== ========
Earnings, as defined:
Income from continuing operations $ 44,061 $ 42,174 $ 68,241 $109,065 $ 31,223
Add (deduct):
Income tax expense 36,345 34,849 40,585 81,143 18,276
Total fixed charges above 101,862 111,006 110,959 72,498 69,355
--------- -------- -------- -------- --------
Total earnings $ 182,268 $188,029 $219,785 $262,706 $118,854
========= ======== ======== ======== ========
Ratio of earnings to fixed charges 1.79 1.69 1.98 3.62 1.71
Fixed charges and preferred dividend requirements:
Fixed charges above $ 101,862 $111,006 $110,959 $ 72,498 $ 69,355
Preferred dividend requirements (1) 4,217 4,387 3,878 41,394 33,914
--------- -------- -------- -------- --------
Total $ 106,079 $115,393 $114,837 $113,892 $103,269
========= ======== ======== ======== ========
Ratio of earnings to fixed charges
and preferred dividend requirements 1.72 1.63 1.91 2.31 1.15
(1) Preferred dividend requirements have been grossed up to their pre-tax level.