EXHIBIT 12.1 SAN DIEGO GAS & ELECTRIC COMPANY COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS 9 Months Ended 1991 1992 1993 1994 1995 9/30/96 --------- ---------- ---------- ---------- ---------- ---------- Fixed Charges: Interest: Long-Term Debt $ 95,124 $ 97,067 $ 84,830 $ 81,749 $ 82,591 $ 57,438 Short-Term Debt 7,010 5,043 6,676 8,894 17,886 11,252 Amortization of Debt Discount and Expense, Less Premium 2,471 2,881 4,162 4,604 4,870 3,639 Interest Portion of Annual Rentals 18,067 14,558 9,881 9,496 9,631 6,387 ---------- ---------- ----------- --------- ----------- ---------- Total Fixed Charges 122,672 119,549 105,549 104,743 114,978 78,716 ---------- ---------- ----------- --------- ----------- ---------- Preferred Dividends Requirements 10,535 9,600 8,565 7,663 7,663 4,937 Ratio of Income Before Tax to Net Income 1.64160 1.71389 1.79353 1.83501 1.78991 1.97521 ---------- ----------- ----------- ---------- ---------- ---------- Preferred Dividends for Purpose of Ratio 17,294 16,453 15,362 14,062 13,716 9,752 ---------- ----------- ----------- ---------- ---------- ---------- Total Fixed Charges and Preferred Dividends for Purpose of Ratio $139,966 $136,002 $120,911 $118,805 $128,694 $ 88,468 ========== =========== ========== ========== ========== ========== Earnings: Net Income (before preferred dividend requirements) $202,544 $224,177 $215,872 $206,296 $219,049 $170,871 Add: Fixed Charges (from above) 122,672 119,549 105,549 104,743 114,978 78,716 Less: Fixed Charges Capitalized 2,322 1,262 1,483 1,424 2,040 1,037 Taxes on Income 129,953 160,038 171,300 172,259 173,029 166,635 ---------- ---------- ---------- ---------- ----------- --------- Total Earnings for Purpose of Ratio $452,847 $502,502 $491,238 $481,874 $505,016 $415,185 ========== ========== ========== ========== =========== ========== Ratio of Earnings to Combined Fixed Charges and Preferred Dividends 3.24 3.69 4.06 4.06 3.92 4.69 ========== ========== ========== ========== =========== =========