EX-12 2 ex12.htm EXHIBIT 12: MGE RATIO OF EARNINGS TO FIXED CHARGES

EXHIBIT 12

Madison Gas and Electric Company

Ratio of Earnings to Fixed Charges

Three Months Ended March 31, 2013

(In thousands)

Earnings |
Net income before minority interest | $22,560
Equity earnings | (2,396)
Income distribution from equity investees | 1,807
Minority interest in pretax income | (998)
Amortization of capitalized interest | 132
Federal and state income taxes | 13,651
Fixed charges | 5,107
Total Earnings as Defined | $39,863
Fixed Charges |
Interest expense on long-term debt and other | $4,529
Interest on rentals* | 216
Amortization of debt issuance costs | 166
AFUDC - borrowed funds | 196
Total Fixed Charges | $5,107
Ratio of Earnings to Fixed Charges | 7.81X

*Management believes that using one-third of the total rental expense

gives a reasonable approximation for actual interest on rentals.