EXHIBIT 12.2
ARIZONA PUBLIC SERVICE COMPANY
COMPUTATION OF EARNINGS TO FIXED CHARGES
(THOUSANDS OF DOLLARS)
Twelve Months Ended
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December 31,
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1998 1997 1996 1995 1994
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Earnings:
Net Income ..................... $ 255,247 $ 251,493 $ 243,471 $ 239,570 $ 243,486
Income taxes (1) ............... 159,456 153,324 132,961 141,267 177,244
Fixed Charges .................. 188,568 195,055 203,855 214,768 213,581
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Total ........................ $ 603,271 $ 599,872 $ 580,287 $ 595,605 $ 634,311
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Fixed Charges:
Interest expense ............... $ 144,695 $ 150,335 $ 158,287 $ 168,175 $ 166,045
Amortization of debt discount,
premium and expense .......... 7,580 7,791 8,176 8,622 8,854
Estimated interest portion of
annual rents (2) ............. 36,293 36,929 37,392 37,971 38,682
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Total ........................ $ 188,568 $ 195,055 $ 203,855 $ 214,768 $ 213,581
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Ratio of Earnings to Fixed Charges
(rounded down) ................. 3.19 3.07 2.84 2.77 2.96
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(1) Income Taxes:
Charged to operations .......... $ 192,207 $ 184,737 $ 178,513 $ 178,865 $ 168,202
Charged (credited) to other
accounts ..................... (32,751) (31,413) (45,552) (37,598) 9,042
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Total ........................ $ 159,456 $ 153,324 $ 132,961 $ 141,267 $ 177,244
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(2) Estimated interest portion of
Unit 2 lease payments included
in estimated interest portion of
annual rentals ................. $ 34,315 $ 34,720 $ 35,083 $ 35,422 $ 35,710
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