EX-12 5 ex12_2.htm EXHIBIT 12.2: MGE RATIO OF EARNINGS TO FIXED CHARGES

EXHIBIT 12.2

Madison Gas and Electric Company

Ratio of Earnings to Fixed Charges

Twelve Months Ended December 31, 2013

(In thousands)

Earnings |
Net income before minority interest | $76,445
Equity earnings | (9,434)
Income distribution from equity investees | 7,404
Minority interest in pretax income | (4,022)
Amortization of capitalized interest | 527
Federal and state income taxes | 45,822
Fixed charges | 20,955
Total Earnings as Defined | $137,697
Fixed Charges |
Interest expense on long-term debt and other | $18,355
Interest on rentals* | 889
Amortization of debt issuance costs | 676
AFUDC - borrowed funds | 1,035
Total Fixed Charges | $20,955
Ratio of Earnings to Fixed Charges | 6.57X

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

gives a reasonable approximation for actual interest on rentals.