Exhibit 12
Tucson Electric Power Company
Computation of Ratio of Earnings to Fixed Charges
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12 Months Ended
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Dec. 31, Dec. 31, Dec. 31, Dec. 31, Dec. 31,
2003 2002 2001 2000 1999
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- Thousands of Dollars -
Fixed Charges:
Interest on Long-Term Debt $ 76,585 $ 65,620 $ 68,678 $ 75,076 $ 78,220
Other Interest (1) 1,820 273 441 211 1,696
Interest on Capital Lease Obligations 84,053 87,783 90,506 92,815 82,414
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Total Fixed Charges 162,458 153,676 159,625 168,102 162,330
Net Income 128,913 55,390 77,778 52,762 76,371
Less:
Extraordinary Income & Accounting Change -
Net of Tax 67,471 - 470 - 22,597
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Net Income from Continuing Operations 61,442 55,390 77,308 52,762 53,774
Add (Deduct):
(Income) Losses from Equity Investees (2) (76) 17 700 1,543 -
Income Taxes 21,090 36,434 57,545 27,610 24,249
Total Fixed Charges 162,458 153,676 159,625 168,102 162,330
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Total Earnings before Taxes
and Fixed Charges $ 244,914 $ 245,517 $ 295,178 $ 250,017 $ 240,353
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Ratio of Earnings to Fixed Charges 1.508 1.598 1.849 1.487 1.481
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(1) Excludes recognition of Allowance for Borrowed Funds Used During Construction.
(2) (Income) losses of Truepricing and Inncom.
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</table>