1
EXHIBIT 12(b)
UNION ELECTRIC COMPANY
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND
PREFERRED STOCK DIVIDEND REQUIREMENTS
Year Ended December 31, 12 Months
------------------------------------------------------------- Ended
March 31,
1991 1992 1993 1994 1995 1996
---- ---- ---- ---- ---- ----
(Thousands of Dollars Except Ratios)
Net income for the period $321,512 $302,748 $297,160 $320,757 $314,107 $316,023
Add:
Taxes based on income 218,954 197,009 182,716 203,827 207,734 211,152
Fixed charges (see below) 168,380 136,227 130,914 142,411 138,071 138,443
------- -------- -------- -------- -------- --------
Earnings available for fixed charges
and preferred stock dividend
requirements of Registrant $708,846 $635,984 $610,790 $666,995 $659,912 $665,618
======== ======== ======== ======== ======== ========
Fixed charges:
Interest on debt $163,061 $125,798 $124,430 $135,608 $129,239 $129,660
Amortization of premium and discount,
less expense, on debt; and
bond defeasance cost 4,148 9,521 5,170 5,504 5,502 5,503
Rentals (see note) 1,171 908 1,314 1,299 3,330 3,280
-------- -------- -------- -------- -------- --------
Total fixed charges $168,380 $136,227 $130,914 $142,411 $138,071 $138,443
Preferred stock dividend requirements
of Registrant* (Adjusted for income
tax effect) 22,213 21,852 21,537 20,514 20,808 20,886
-------- -------- -------- -------- -------- --------
Total fixed charges and preferred
stock dividend requirements $190,593 $158,079 $152,451 $162,925 $158,879 $159,329
======== ======== ======== ======== ======== ========
Ratio of earnings to fixed charges
and preferred dividends 3.72 4.02 4.01 4.09 4.15 4.18
==== ==== ==== ==== ==== ====
Note: Represents the interest factor applicable to rentals.
* See following page for supporting computation.
2
EXHIBIT 12(b)
(continued)
UNION ELECTRIC COMPANY
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND
PREFERRED STOCK DIVIDEND REQUIREMENTS
Year Ended December 31, 12 Months
----------------------------------------------------------- Ended
March 31,
1991 1992 1993 1994 1995 1996
---- ---- ---- ---- ---- ----
(Thousands of Dollars Except Ratios)
Computation of preferred stock
dividend requirements of Registrant,
adjusted for income tax effect*
Preferred stock dividend
requirements of Registrant, as
shown on statement of earnings $ 14,059 $ 14,058 $ 14,087 $ 13,252 $ 13,250 $ 13,249
Less deductible preferred stock
dividends** 2,085 2,085 1,973 1,816 1,816 1,816
-------- -------- -------- -------- -------- --------
Non-deductible preferred stock
dividends $ 11,974 $ 11,973 $ 12,114 $ 11,436 $ 11,434 $ 11,433
======== ======== ======== ======== ======== ========
Excess of net income before income
taxes over net income (percentage)
See note below 68.1% 65.1% 61.5% 63.5% 66.1% 66.8%
----- ----- ----- ----- ----- -----
Income tax effect on non-deductible
preferred stock dividends* $ 8,154 $ 7,794 $ 7,450 $ 7,262 $ 7,558 $ 7,637
Add:
Deductible preferred stock
dividends (above) 2,085 2,085 1,973 1,816 1,816 1,816
Non-deductible preferred stock
dividends (above) 11,974 11,973 12,114 11,436 11,434 11,433
-------- -------- -------- -------- -------- --------
Preferred stock dividend requirements
of Registrant. (Adjusted for income
tax effect) $ 22,213 $ 21,852 $ 21,537 $ 20,514 $ 20,808 $ 20,886
======== ======== ======== ======== ======== ========
Note: Calculated as follows -
Net income before income taxes $540,466 $499,757 $479,876 $524,584 $521,841 $527,175
Less net income 321,512 302,748 297,160 320,757 314,107 316,023
-------- -------- -------- -------- -------- --------
Excess - Taxed based on income $218,954 $197,009 $182,716 $203,827 $207,734 $211,152
======== ======== ======== ======== ======== ========
- Percentage of net income 68.1% 65.1% 61.5% 63.5% 66.1% 66.8%
===== ===== ===== ===== ===== =====
* Income tax adjustment to reflect pretax earnings required to meet preferred
stock dividend. ** Dividends deductible on federal income tax return.