EX-12.E 7 ppl-6302017_ex12e.htm EXHIBIT 12.E
Exhibit 12(e)
KENTUCKY UTILITIES COMPANY
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Millions of Dollars)

| Six Months Ended June 30, |  | Years Ended December 31,
| 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Earnings, as defined: |  |  |  |  |  |  |  |  |  |  |
Income Before Income Taxes | $ | 192 |  |  | $ | 428 |  |  | $ | 374 |  |  | $ | 355 |  |  | $ | 360 |  |  | $ | 215 |
Adjustment to reflect earnings from equity method investments on a cash basis (a) | 1 |  |  | (1 | ) |  | (1 | ) |  | (1 | ) |  | (1 | ) |  | 33 |
| 193 |  |  | 427 |  |  | 373 |  |  | 354 |  |  | 359 |  |  | 248 |
Total fixed charges as below | 50 |  |  | 100 |  |  | 86 |  |  | 80 |  |  | 73 |  |  | 72 |
Total earnings | $ | 243 |  |  | $ | 527 |  |  | $ | 459 |  |  | $ | 434 |  |  | $ | 432 |  |  | $ | 320 |
Fixed charges, as defined: |  |  |  |  |  |  |  |  |  |  |
Interest charges (b) | $ | 48 |  |  | $ | 96 |  |  | $ | 82 |  |  | $ | 77 |  |  | $ | 70 |  |  | $ | 69 |
Estimated interest component of operating rentals | 2 |  |  | 4 |  |  | 4 |  |  | 3 |  |  | 3 |  |  | 3 |
Total fixed charges | $ | 50 |  |  | $ | 100 |  |  | $ | 86 |  |  | $ | 80 |  |  | $ | 73 |  |  | $ | 72 |
Ratio of earnings to fixed charges | 4.9 |  |  | 5.3 |  |  | 5.3 |  |  | 5.4 |  |  | 5.9 |  |  | 4.4 |

(a) |  | Includes other-than-temporary impairment loss of $25 million in 2012.
(b) |  | Includes interest on long-term and short-term debt, as well as amortization of loss on reacquired debt and amortization of debt discount, expense and premium - net.