1
EXHIBIT (12)
CMS ENERGY CORPORATION
Ratio of Earnings to Fixed Charges and Preferred Securities Dividends
and Distributions
(Millions of Dollars)
Years Ended December 31
1998 1997 1996 1995 1994
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(b)
Earnings as defined (a)
Consolidated net income $ 242 $ 244 $ 224 $ 195 $ 177
Income taxes 100 108 137 113 91
Exclude equity basis subsidiaries (92) (80) (85) (57) (18)
Fixed charges as defined, adjusted to
exclude capitalized interest of $28, $13,
$5, $4 and $2 million for the years ended
December 31, 1998, 1997, 1996, 1995
and 1994, respectively 395 360 313 299 253
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Earnings as defined $ 645 $ 632 $ 589 $ 550 $ 503
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Fixed charges as defined (a)
Interest on long-term debt $ 319 $ 273 $ 230 $ 224 $ 193
Estimated interest portion of lease rental 8 8 10 9 9
Other interest charges 48 49 43 42 30
Preferred securities dividends and
distributions 77 67 54 42 36
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Fixed charges as defined $ 452 $ 397 $ 337 $ 317 $ 268
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Ratio of earnings to fixed charges and
preferred securities dividends and distributions 1.43 1.59 1.75 1.74 1.88
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NOTES:
(a) Earnings and fixed charges as defined in instructions for Item 503 of
Regulation S-K.
(b) Excludes a cumulative effect of change in accounting after-tax gain of $43
million.