1
Exhibit 12
THE CLEVELAND ELECTRIC ILLUMINATING COMPANY
Computation of Ratio of Earnings to Fixed Charges
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(Thousands of Dollars)
Statement Setting fort Computations Showing Satisfaction of the Requirements
Specified in Regulation S-K, Item 503(d):
Year Ended December 31 12 Mos.
--------------------------------------------------------- Ended
1993 1994 1995 1996 1997 9/30/98
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Consolidated Net Income (Loss) ($587,147) $ 185,431 $ 183,719 $ 116,553 $ 114,481 $ 162,028
Add
Federal Income Taxes Expense (247,966) 85,455 95,561 69,120 92,969 123,761
(Credit)
Interest (a) 252,479 254,248 251,793 244,789 248,429 236,227
Provision for Interest Element of
Rentals 81,131 79,462 79,642 79,503 69,086 65,123
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Total Earnings ($501,503) $ 604,596 $ 610,715 $ 509,965 $ 524,965 $ 587,139
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Fixed Charges
Interest (a) $ 252,479 $ 254,248 $ 251,793 $ 244,789 $ 248,429 $ 236,227
Provision for Interest Element of
Rentals 81,131 79,462 79,462 79,503 69,086 65,123
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Total Fixed Charges $ 333,610 $ 333,710 $ 331,435 $ 324,292 $ 317,515 $ 301,350
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Ratio of Earnings to Fixed Charges (1.50) 1.81 1.84 1.57 1.65 1.95
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(a) Includes interest on first mortgage bonds, bank loans, commercial
paper, pollution control notes, and other interest included in
operation expenses; amortization of net premium, discount and expense
on debt; and capitalized interest on nuclear fuel lease obligations.
(b) Includes the interest component of Bruce Mansfield sale and leaseback
rentals, leased nuclear fuel in the reactor, and other miscellaneous
rentals.