Exhibit (12)(i)(i)
CENTRAL HUDSON GAS & ELECTRIC CORPORATION
Computation of Ratio of Earnings to Fixed Charges
and Ratio of Earnings to Fixed Charges and Preferred Dividends
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 $ 7,646 $ 35,635 $ 7,630 $38,648 $38,875 $32,524 $ 44,178 $ 52,595
B. Federal & State Income Tax 5,184 23,936 5,006 28,426 26,981 21,690 (7,637) 37,150
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C. Earnings before Income Taxes $ 12,830 $ 59,571 $ 12,636 $67,074 $65,856 $54,214 $ 36,541 $ 89,745
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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 826 2,577 838 5,517 9,828(2) 11,772 11,820 6,251
Interest Portion of Rents 214 835 208 954 768 749 801 962
Amortization of Premium & Expense on Debt 251 1,043 257 1,066 1,159 1,249 1,350 1,170
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Total Fixed Charges $ 4,930 $ 18,281 $ 4,355 $19,025 $23,024 $25,725 $ 29,628 $ 32,589
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E. Total Earnings $ 17,760 $ 77,852 $ 16,991 $86,099 $88,880 $79,939 $ 66,169 $ 122,334
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Preferred Dividend Requirements:
F. Allowance for Preferred Stock Dividends
Under IRC Sec 247 $ 242 $ 970 $ 242 $ 970 $ 1,387(2) $ 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) 1.678 1.672 1.656 1.736 1.694 1.667 0.827 1.706
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J. Pref. Dividend (Pre-tax) (H x I) 354 1,409 349 1,463 2,134 3,391 2,566 5,294
K. Plus Allowable Dividend Deduction 31 127 31 127 127 127 127 127
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L. Preferred Dividend Factor 385 1,536 380 1,590 2,261 3,518 2,693 5,421
M. Fixed Charges (D) 4,930 18,281 4,355 19,025 23,024 25,725 29,628 32,589
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N. Total Fixed Charges and Preferred Dividends $ 5,315 $ 19,817 $ 4,735 $20,615 $25,285 $29,243 $ 32,321 $ 38,010
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O. Ratio of Earnings to Fixed Charges (E/D) 3.60 4.26 3.90 4.53 3.86 3.11 2.23 3.75
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P. Ratio of Earnings to Fixed Charges and
Preferred Dividends (E/N) 3.34 3.93 3.59 4.18 3.52 2.73 2.05 3.22
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(1) The reduction in the ratios 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) Reflects reclassification of $208,750 in preferred stock dividends to
interest expense for the quarter ended September 30, 2003, pursuant to
SFAS No. 150, entitled Accounting for Certain Financial Instruments with
Characteristics of Both Liabilities and Equity.