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EXHIBIT 12
SEMCO ENERGY, Inc.
Ratio of Earnings to Fixed Charges
(Thousands of Dollars)
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12 Months Year Ended
Ended ----------
Description 09/30/99 1998 1997(c) 1996(c) 1995 1994
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Earning as Defined(a)
Net Income (loss) $ 14,825 $ 10,040 $ 15,425 ($ 12,762) $ 11,331 $ 9,992
Income Taxes 8,394 7,011 8,469 (7,106) 6,151 4,560
Other items (96) 672 (96) (96) (96) 1,882
Fixed charges as defined 15,726 15,085 16,741 14,617 14,402 14,092
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Earnings as defined $ 38,849 $ 32,808 $ 40,539 ($ 5,347) $ 31,788 $ 30,526
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Fixed charges as defined(a)
Interest on long-term debt $ 12,392 $ 11,488 $ 9,389 $ 8,514 $ 8,546 $ 8,605
Amortization of debt expense 509 450 449 431 520 454
Other interest charges 2,551 2,873 6,629 5,398 5,062 4,759
Preferred securities dividends
and distributions 274 274 274 274 274 274
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Fixed charges as defined $ 15,726 $ 15,085 $ 16,741 $ 14,617 $ 14,402 $ 14,092
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Ratio of earnings to fixed
charges 2.47 2.17 2.42 (b) 2.21 2.17
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Notes:
(a) Earnings and fixed charges as defined in instructions for Item 503 of
Regulation S-K.
(b) For the year ended December 31, 1996, fixed charges exceeded earnings by
$20.0 million. Earnings as defined include a $32.3 million non-cash pretax
write-down of the NOARK investment. Excluding the NOARK write-down the
ratio of earnings to fixed charges would have been 1.84
(c) Restated to account for a 1998 acquisition as a pooling of interests. Years
prior to 1996 were not restated for the pooling of interests as the effects
were not material.