Exhibit 12 TXU ENERGY COMPANY LLC COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES Year Ended December 31, -------------------------------- 2002 2001 (a) 2000 ---- ------- ---- Millions of Dollars, Except Ratios EARNINGS: Income before extraordinary items.............................. $ 270 $ 563 $ 576 Add: Total federal income taxes............................... 90 227 219 Fixed charges (see detail below)......................... 268 279 301 ------ ------ ------ Total earnings....................................... $ 628 $1,069 $1,096 ====== ====== ====== FIXED CHARGES: Interest expense, excluding capitalized interest............. $ 222 $ 237 $ 262 Rentals representative of the interest factor................ 46 42 39 ------ ------ ------ Total fixed charges..................................... $ 268 $ 279 $ 301 ====== ====== ====== RATIO OF EARNINGS TO FIXED CHARGES 2.34 3.83 3.64 ==== ==== ==== (a) Reflects a reclassification of $149 million pretax ($97 million after-tax) of extraordinary loss on extinguishment of debt to Other Deductions and Income Tax Expense as a result of the implementation of SFAS No. 145.