Exhibit 12.1
Atlantic City Electric Company
SEC Registration Method
Ratio of Earnings to Fixed Charges
Years Ended December 31, Twelve Months
------------------------------------------------------------- Ended
1991 1992 1993 1994 1995 June 30, 1996
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Net Income .................................... $ 107,428 $ 107,446 $ 109,026 $ 93,174 $ 98,752 $ 100,642
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Federal Income Taxes
Current ...................................... $ 37,759 $ 33,661 $ 29,680 $ 30,014 $ 32,458 $ 38,209
Deferred ..................................... 3,957 16,064 18,747 8,650 18,230 14,495
Investment Tax Credits-net .................... (2,537) (2,534) (2,534) (2,534) (2,534) (2,534)
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Total Taxes ................................... $ 39,179 $ 47,191 $ 45,893 $ 36,130 $ 48,154 $ 50,170
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Fixed charges
Interest on long term debt ................... $ 49,081 $ 50,719 $ 56,279 $ 53,747 $ 56,547 $ 57,309
Amortization of debt expense,
discount and premium, net .................. 2,520 2,565 3,106 3,599 3,782 4,010
Interest on short term debt .................. 1,946 1,579 1,421 1,778 3,081 3,200
Other interest expense ....................... 1,179 1,099 212 (664) (531) 72
Interest factors associated with rentals ..... 5,551 4,177 3,884 4,148 4,364 4,116
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Total Fixed Charges ........................... $ 60,277 $ 60,139 $ 64,902 $ 62,608 $ 67,243 $ 68,707
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Earnings before income taxes and fixed
charges(a) ................................... $ 205,279 $ 213,716 $ 218,950 $ 190,884 $ 212,777 $ 218,189
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Ratio of earnings to Fixed Charges ............ 3.41 3.55 3.37 3.05 3.16 3.18
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(a) Excludes the amount of capitalized interest associated with fixed charges.