EXHIBIT 12
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED AND PREFERENCE DIVIDEND REQUIREMENTS
12 Months Ended
-------------------------------------------------------
December December December December December
1996 1995 1994 1993 1992
-------------------------------------------------------
(In Thousands of Dollars)
Net Income $310,824 $338,007 $323,617 $309,866 $264,347
Taxes on Income 169,202 172,388 156,702 140,833 105,994
-------- -------- -------- -------- --------
Adjusted Net Income $480,026 $510,395 $480,319 $450,699 $370,341
-------- -------- -------- -------- --------
Fixed Charges:
Interest and Amortization of Debt Discount
and Expense and Premium on all Indebtedness $203,923 $206,666 $204,206 $199,415 $200,848
Capitalized Interest 15,664 15,050 12,427 16,167 13,800
Interest Factor in Rentals 1,548 2,099 2,010 2,144 2,033
-------- -------- -------- -------- --------
Total Fixed Charges $221,135 $223,815 $218,643 $217,726 $216,681
-------- -------- -------- -------- --------
Preferred and Preference
Dividend Requirements: (1)
Preferred and Preference Dividends $ 38,536 $ 40,578 $ 39,922 $ 41,839 $ 42,247
Income Tax Required 20,849 20,434 19,074 18,763 16,729
-------- -------- -------- -------- --------
Total Preferred and Preference
Dividend Requirements $ 59,385 $ 61,012 $ 58,996 $ 60,602 $ 58,976
-------- -------- -------- -------- --------
Total Fixed Charges and Preferred
and Preference Dividend Requirements $280,520 $284,827 $277,639 $278,328 $275,657
======== ======== ======== ======== ========
Earnings (2) $685,497 $719,160 $686,535 $652,258 $573,222
======== ======== ======== ======== ========
Ratio of Earnings to Fixed Charges 3.10 3.21 3.14 3.00 2.65
Ratio of Earnings to Combined Fixed
Charges and Preferred and Preference
Dividend Requirements 2.44 2.52 2.47 2.34 2.08
(1) Preferred and preference dividend requirements consist of an amount equal
to the pre-tax earnings that would be required to meet dividend
requirements on preferred stock and preference stock.
(2) Earnings are deemed to consist of net income that includes earnings of
BGE's consolidated subsidiaries, equity in the net income of BGE's
unconsolidated subsidiary, income taxes (including deferred income taxes
and investment tax credit adjustments), and fixed charges other than
capitalized interest.