1
EXHIBIT 12-2
THE DETROIT EDISON COMPANY AND SUBSIDIARY COMPANIES
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
Year Ended December 31
----------------------------------
1995 1994 1993
---------- ---------- ----------
(Thousands, except for ratio)
Net income ................................ $ 433,651 $ 419,909 $ 521,903
---------- ---------- ----------
Taxes based on income:
Current income taxes ..................... 220,730 169,381 217,363
Deferred taxes - net ..................... 78,817 110,243 99,801
Investment tax credit adjustments - net .. (16,294) (12,826) (14,227)
Municipal and state ...................... 2,627 2,566 3,373
---------- ---------- ----------
Total taxes based on income ............ 285,880 269,364 306,310
---------- ---------- ----------
Fixed charges:
Interest on long-term debt ............... 275,599 273,763 325,194
Amortization of debt discount, premium
and expense ............................ 11,312 10,832 9,114
Other interest ........................... 9,666 11,170 4,928
Interest factor of rents ................. 29,000 28,000 29,200
---------- ---------- ----------
Total fixed charges .................... 325,577 323,765 368,436
---------- ---------- ----------
Earnings before taxes based on income
and fixed charges ........................ $1,045,108 $1,013,038 $1,196,649
========== ========== ==========
Ratio of earnings to fixed charges ........ 3.21 3.13 3.25