1 EXHIBIT 12-17 THE DETROIT EDISON COMPANY COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Three Months Year Ended December 31 Ended --------------------------------------------- 3/31/99 1998 1997 1996 ------- ---- ---- ---- (Millions, except for ratio) Net income............................................. $ 104 $ 418 $ 417 $ 328 ----------- ----------- ---------- ----------- Taxes based on income: Income taxes........................................ 49 260 288 225 Municipal and state................................. 1 3 4 3 ---------- ----------- ---------- ----------- Total taxes based on income....................... 50 263 292 228 ---------- ----------- ---------- ----------- Fixed charges: Interest expense.................................... 68 278 282 291 Allowance for funds used during construction...................................... 2 - - - Interest factor of rents............................ 9 34 34 34 ---------- ----------- ---------- ----------- Total fixed charges............................... 79 312 316 325 ========== =========== ========== =========== Earnings before taxes based on income and fixed charges................................... $ 233 $ 933 $ 1,025 $ 881 =========== =========== ========== =========== Ratio of earnings to fixed charges 2.94 3.18 3.24 2.71