CH ENERGY GROUP, INC.
Computation of Ratio of Earnings to Fixed Charges
EXHIBIT (12) (i)
2005 2004 Year Ended December 31,
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3 Months 12 Months 3 Months
Ended Ended Ended (1)
Dec 31 Dec 31 Dec 31 2004 2003 2002 2001 2000
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Earnings: ($000)
A. Net Income from Continuing Operations (2) $ 11,672 $ 44,291 $ 9,487 $ 42,423 $ 43,985 $ 36,453 $ 50,835 $ 50,973
B. Federal and State Income Tax 7,831 25,819 6,130 31,256 30,435 22,294 (3,338) 38,215
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C. Earnings before Income Taxes $ 19,503 $ 70,110 $ 15,617 $ 73,679 $ 74,420 $ 58,747 $ 47,497 $ 89,188
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D. Fixed Charges
Interest on Mortgage Bonds 0 0 0 0 570 2,136 5,211 11,342
Interest on Other Long-Term Debt 3,639 13,826 3,052 11,488 10,699 9,819 10,446 12,864
Other Interest 825 2,577 838 5,517 9,828(3) 11,659 12,837 9,303
Interest Portion of Rents 281 1,077 291 1,192 1,040 749 801 962
Amortization of Premium & Expense on
Debt 251 1,043 257 1,066 1,159 1,249 1,350 1,170
Preferred Stock Dividends of Central
Hudson 384 1,461 378 1,591 2,259 3,405 3,026 5,556
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Total Fixed Charges $ 5,380 $ 19,984 $ 4,816 $ 20,854 $ 25,555 $ 29,017 $ 33,671 $ 41,197
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E. Total Earnings $ 24,883 $ 90,094 $ 20,433 $ 94,533 $ 99,975 $ 87,764 $ 81,168 $ 130,385
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Preferred Dividend Requirements:
F. Allowance for Preferred Stock Dividends
Under IRC Sec 247 $ 242 $ 970 $ 242 $ 970 $ 1,387(3) $ 2,161 $ 3,230 $ 3,230
G. Less Allowable Dividend Deduction (31) (127) (31) (127) (127) (127) (127) (127)
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H. Net Subject to Gross-up 211 843 211 843 1,260 2,034 3,103 3,103
I. Ratio of Earnings before Income
Taxes to Net Income (C/A) 1.671 1.583 1.646 1.737 1.692 1.612 0.934 1.750
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J. Preferred Dividend (Pre-tax) (H x I) 353 1,334 347 1,464 2,132 3,278 2,899 5,429
K. Plus Allowable Dividend Deduction 31 127 31 127 127 127 127 127
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L. Preferred Dividend Factor 384 1,461 378 1,591 2,259 3,405 3,026 5,556
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M. Ratio of Earnings to Fixed Charges (E/D) 4.63 4.51 4.24 4.53 3.91 3.02 2.41 3.16
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(1) The reduction in the ratio reflects the net effect of regulatory actions
in 2001 associated with the sale of Central Hudson's interests in its
major generating assets, including the recording of a significant amount
of federal investment income tax credits.
(2) Net Income does not include preferred stock dividends of Central Hudson.
(3) Reflects SFAS No. 150, entitled Accounting for Certain Financial
Instruments with Characteristics of Both Liabilities and Equity,
reclassification of $208,750 in preferred stock dividends to interest
expense for the quarter ended September 30, 2003.