EX-12.B 4 ppl-3312017_ex12b.htm EXHIBIT 12.B
Exhibit 12(b)
PPL ELECTRIC UTILITIES CORPORATION AND SUBSIDIARIES
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND
PREFERRED STOCK DIVIDENDS
(Millions of Dollars)

| Three Months Ended March 31, |  | Years Ended December 31,
| 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Earnings, as defined: |  |  |  |  |  |  |  |  |  |  |
Income Before Income Taxes | $ | 127 |  |  | $ | 552 |  |  | $ | 416 |  |  | $ | 423 |  |  | $ | 317 |  |  | $ | 204 |
Total fixed charges as below | 35 |  |  | 141 |  |  | 139 |  |  | 131 |  |  | 117 |  |  | 107 |
Total earnings | $ | 162 |  |  | $ | 693 |  |  | $ | 555 |  |  | $ | 554 |  |  | $ | 434 |  |  | $ | 311 |
Fixed charges, as defined: |  |  |  |  |  |  |  |  |  |  |
Interest charges (a) | $ | 34 |  |  | $ | 137 |  |  | $ | 135 |  |  | $ | 127 |  |  | $ | 113 |  |  | $ | 104 |
Estimated interest component of operating rentals | 1 |  |  | 4 |  |  | 4 |  |  | 4 |  |  | 4 |  |  | 3 |
Total fixed charges (b) | $ | 35 |  |  | $ | 141 |  |  | $ | 139 |  |  | $ | 131 |  |  | $ | 117 |  |  | $ | 107 |
Ratio of earnings to fixed charges | 4.6 |  |  | 4.9 |  |  | 4.0 |  |  | 4.2 |  |  | 3.7 |  |  | 2.9 |
Preferred stock dividend requirements on a pre-tax basis | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 6 |
Fixed charges, as above | 35 |  |  | 141 |  |  | 139 |  |  | 131 |  |  | 117 |  |  | 107 |
Total fixed charges and preferred stock dividends | $ | 35 |  |  | $ | 141 |  |  | $ | 139 |  |  | $ | 131 |  |  | $ | 117 |  |  | $ | 113 |
Ratio of earnings to combined fixed charges and preferred stock dividends | 4.6 |  |  | 4.9 |  |  | 4.0 |  |  | 4.2 |  |  | 3.7 |  |  | 2.8 |

(a) |  | Includes interest on long-term and short-term debt, as well as amortization of debt discount, expense and premium - net.
(b) |  | Interest on unrecognized tax benefits is not included in fixed charges.