EXHIBIT 12
LOUISVILLE GAS AND ELECTRIC COMPANY
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Thousands of $)
1994 1993 1992 1991 1990
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Earnings:
Income before cumulative effect of a change
in accounting principle per statements
of income . . . . . . . . . . . . . . . . . . . $ 61,689 $ 90,535 $ 73,793 $ 94,643 $ 83,450
Add:
Federal income taxes - current. . . . . . . . . . 30,926 42,091 13,785 35,490 24,966
State income taxes - current. . . . . . . . . . . 7,726 12,954 3,140 8,425 8,232
Deferred Federal income taxes - net . . . . . . . (950) 4,712 20,441 17,207 13,142
Deferred State income taxes - net . . . . . . . . 956 226 8,470 6,085 4,475
Investment tax credit - net . . . . . . . . . . . (4,619) (7,821) (5,033) (11,472) (1,964)
Fixed charges . . . . . . . . . . . . . . . . . . 44,665 49,640 52,196 55,171 56,061
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Earnings. . . . . . . . . . . . . . . . . . . . 140,393 192,337 166,792 205,549 188,362
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Fixed Charges:
Interest Charges per statements of income . . . . 42,856 47,496 49,833 52,680 53,663
Add:
Interest income (1) . . . . . . . . . . . . . . - - 4 98 251
One-third of rentals charged to
operating expense (2). . . . . . . . . . . . . 1,809 2,144 2,359 2,393 2,147
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Fixed charges . . . . . . . . . . . . . . . . $ 44,665 $ 49,640 $ 52,196 $ 55,171 $ 56,061
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Ratio of Earnings to Fixed Charges . . . . . . . . . . 3.14 3.87 3.20 3.73 3.36
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<FN>
NOTES:
(1) Interest income earned on pollution control revenue bond proceeds held and invested by trustees--netted against interest
charges above.
(2) In the Company's opinion, one-third of rentals represents a reasonable approximation of the interest factor.