Exhibit 12
TUCSON ELECTRIC POWER COMPANY
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
12 Months Ended
-------------------------------------------------------
Dec.31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2002 2001 2000 1999 1998
- -----------------------------------------------------------------------------------------------------
- Thousands of Dollars -
Fixed Charges:
Interest on Long-Term Debt (2) $ 65,620 $68,678 $66,377 $66,836 $72,672
Other Interest (1) 273 441 9,067 13,081 13,207
Interest on Capital Lease Obligations (2) 87,783 90,506 92,658 82,414 81,823
- -----------------------------------------------------------------------------------------------------
Total Fixed Charges 153,676 159,625 168,102 162,331 167,702
Net Income 53,737 75,284 51,169 73,475 41,676
Less:
Extraordinary Income & Accounting
Change - Net of Tax - 470 - 22,597 -
- -----------------------------------------------------------------------------------------------------
Net Income from Continuing Operations 53,737 74,814 51,169 50,878 41,676
Add (Deduct):
Losses from Equity Investees (3) (17) 700 1,543 - -
Income Taxes 35,350 55,910 26,566 22,350 17,578
Total Fixed Charges 153,676 159,625 168,102 162,331 167,702
- -----------------------------------------------------------------------------------------------------
Total Earnings before Taxes and
Fixed Charges $242,746 $291,049 $247,380 $235,559 $226,956
=====================================================================================================
Ratio of Earnings to Fixed Charges 1.580 1.823 1.472 1.451 1.353
<FN>
(1) Excludes recognition of Allowance for Borrowed Funds Used During Construction.
(2) Amounts have been restated for year ended 2001 to conform to current year's
presentation.
(3) Truepricing and Inncom losses.
</FN>