CH ENERGY GROUP, INC.
Computation of Ratio of Earnings to Fixed Charges EXHIBIT (12) (i)
2004 Year Ended December 31,
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3 Months 6 Months 12 Months
Ended Ended Ended
June 30 June 30 June 30 2003 2002 2001 (1) 2000 1999
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Earnings: ($000)
A. Net Income from Continuing Operations
(2) $ 5,496 $ 28,485 $ 44,651 $ 43,985 $ 41,281 $ 50,835 $ 50,973 $ 48,573
B. Federal and State Income Tax 4,463 20,736 31,987 30,435 22,294 (3,338) 38,215 28,925
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C. Earnings before Income Taxes $ 9,959 $ 49,221 $ 76,638 $ 74,420 $ 63,575 $ 47,497 $ 89,188 $ 77,498
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D. Fixed Charges
Interest on Mortgage Bonds -- -- 68 570 2,136 5,211 11,342 13,057
Interest on Other Long-Term Debt 2,909 5,740 11,187 10,699 9,819 10,446 12,864 11,094
Other Interest (3) 1,863 3,827 8,854 9,828 11,659 12,837 9,303 5,640
Interest Portion of Rents 423 682 1,219 1,040 749 801 962 993
Amortization of Premium & Expense
on Debt 276 547 1,058 1,159 1,249 1,350 1,170 993
Preferred Stock Dividends of
Central Hudson 413 791 1,574 2,259 3,259 3,026 5,556 5,078
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Total Fixed Charges $ 5,884 $ 11,587 $ 23,960 $ 25,555 $ 28,871 $ 33,671 $ 41,197 $ 36,855
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E. Total Earnings $15,843 $ 60,808 $100,598 $ 99,975 $ 92,446 $ 81,168 $130,385 $114,353
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Preferred Dividend Requirements:
F. Allowance for Preferred Stock
Dividends Under IRC Sec 247 (3) $ 242 $ 485 $ 970 $ 1,387 $ 2,161 $ 3,230 $ 3,230 $ 3,230
G. Less Allowable Dividend Deduction (32) (64) (127) (127) (127) (127) (127) (127)
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H. Net Subject to Gross-up 210 421 843 1,260 2,034 3,103 3,103 3,103
I. Ratio of Earnings before Income
Taxes to Net Income (C/A) 1.812 1.728 1.716 1.692 1.540 0.934 1.750 1.595
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J. Preferred Dividend (Pre-tax) (H x I) 381 727 1,447 2,132 3,132 2,899 5,429 4,951
K. Plus Allowable Dividend Deduction 32 64 127 127 127 127 127 127
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L. Preferred Dividend Factor 413 791 1,574 2,259 3,259 3,026 5,556 5,078
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M. Ratio of Earnings to Fixed Charges
(E/D) 2.69 5.25 4.20 3.91 3.20 2.41 3.16 3.10
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(1) The reduction in the ratio reflects the net effect of regulatory actions
in 2001 associated with the sale of the interests of Central Hudson in its
principal generating facilities, including the recording of a significant
amount of federal investment income tax credits.
(2) Net Income includes preferred stock dividends of Central Hudson.
(3) Reflects SFAS 150 reclassification of $208,750 in preferred stock
dividends to interest expense for the quarter ended September 30, 2003.