EXHIBIT 12.2 | |||||||||||||||||||||
SAN DIEGO GAS & ELECTRIC COMPANY | |||||||||||||||||||||
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES | |||||||||||||||||||||
AND PREFERRED STOCK DIVIDENDS | |||||||||||||||||||||
(Dollars in millions) | |||||||||||||||||||||
2012 | 2013 | 2014 | 2015 | 2016 | |||||||||||||||||
Fixed charges and preferred stock dividends: | |||||||||||||||||||||
Interest | $ | 220 | $ | 231 | $ | 238 | $ | 241 | $ | 239 | |||||||||||
Interest portion of annual rentals | 1 | 1 | 1 | 1 | 1 | ||||||||||||||||
Total fixed charges | 221 | 232 | 239 | 242 | 240 | ||||||||||||||||
Preferred stock dividends(1) | 7 | 5 | — | — | — | ||||||||||||||||
Combined fixed charges and preferred stock dividends for purpose of ratio | $ | 228 | $ | 237 | $ | 239 | $ | 242 | $ | 240 | |||||||||||
Earnings: | |||||||||||||||||||||
Pretax income from continuing operations | $ | 705 | $ | 626 | $ | 797 | $ | 890 | $ | 845 | |||||||||||
Add: Total fixed charges (from above) | 221 | 232 | 239 | 242 | 240 | ||||||||||||||||
Less: Interest capitalized | — | — | 1 | — | — | ||||||||||||||||
Total earnings for purpose of ratio | $ | 926 | $ | 858 | $ | 1,035 | $ | 1,132 | $ | 1,085 | |||||||||||
Ratio of earnings to combined fixed charges | |||||||||||||||||||||
and preferred stock dividends | 4.06 | 3.62 | 4.33 | 4.68 | 4.52 | ||||||||||||||||
Ratio of earnings to fixed charges | 4.19 | 3.70 | 4.33 | 4.68 | 4.52 | ||||||||||||||||
(1) | In computing this ratio, “Preferred stock dividends” represents the before-tax earnings necessary to pay such dividends, computed at the effective tax rates for the applicable periods. | ||||||||||||||||||||