EX-12.1 4 dex121.htm RATIOS OF EARNINGS TO FIXED CHARGES AND PREFERRED & PREFERENCE STOCK Ratios of Earnings to Fixed Charges and Preferred & Preference Stock

EXHIBIT 12.1

SOUTHERN CALIFORNIA EDISON

RATIOS OF EARNINGS TO FIXED CHARGES AND PREFERRED AND PREFERENCE STOCK

(Millions of Dollars)

 

      2004     2005     2006     2007     2008     6 Months
Ended
June 30, 2008		     6 Months
Ended
June 30, 2009		     12 Months
Ended
June 30, 2009		  

Earnings:

                 

Income from continuing operations before tax and noncontrolling interest

    $ 1,639      $ 1,375      $ 1,540      $ 1,400      $ 1,246      $ 510      $ 689      $ 1,425   

Less: Income from equity investees

      —          —          —          —          —          —          —          —     
                                                                

Income from continuing operations before income from equity investees, tax and noncontrolling interest

      1,639        1,375        1,540        1,400        1,246        510        689        1,425   

Add:

                 

Fixed charges (see below)

      426        411        502        540        520        246        262        528   

Amortization of capitalized interest

      1        1        1        2        2        1        1        2   

Distributed income of equity investees

      —          —          —          —          —          —          —          —     

Loss of equity investees for which charges arising from guarantees are included in fixed charges

      —          —          —          —          —          —          —          —     

Subtract:

                 

Interest capitalized

      (1 )      (1 )      (2 )      (3 )      (3 )      (1 )      (1 )      (3 ) 

Preference security dividend requirements of consolidated subsidiaries — pre-tax basis

      (13 )      (34 )      (77 )      (74 )      (75 )      (34 )      (25 )      (58 ) 

Noncontrolling interest of subsidiaries that have not incurred fixed charges — pre-tax basis

      (280 )      (334 )      (275 )      (305 )      (170 )      (67 )      (34 )      (137 ) 
                                                                

Earnings as adjusted

    $ 1,772      $ 1,418      $ 1,689      $ 1,560      $ 1,520      $ 655      $ 892      $ 1,757   
                                                                

Fixed Charges (1):

                 

Interest expenses — net of capitalized interest and AFUDC

    $ 409      $ 360      $ 399      $ 429      $ 407      $ 193      $ 215      $ 429   

Add: AFUDC

      —          14        19        25        27        14        18        31   
                                                                

Interest expenses — net of capitalized interest

      409        374        418        454        434        207        233        460   

Interest capitalized (2)

      1        1        3        3        3        1        1        3   

Interest portion of rental expense (3)

      1        1        2        8        7        3        2        6   

Allocable portion of interest on long-term contracts for purchased power (4)

      2        1        2        1        1        1        1        1   

Preferred and preference stock dividend requirement — pre-tax basis

      13        34        77        74        75        34        25        58   
                                                                

Total fixed charges

    $ 426      $ 411      $ 502      $ 540      $ 520      $ 246      $ 262      $ 528   
                                                                

Ratio

      4.16        3.45        3.36        2.89        2.92        2.66        3.40        3.33   
                                                                

 

(1) Interest expenses associated with income taxes are reflected as a component of income tax expense and are excluded from the determination of fixed charges.
(2) Includes fixed charges associated with Nuclear Fuel and capitalized interest of fifty-percent owned partnership. The amount for 2006 is restated.
(3) Rentals include the interest factor relating to certain significant rentals plus one-third of all remaining annual rentals, except for amounts allocated to power purchase contracts that are classified as operating leases.
(4) Allocable portion of interest included in annual minimum debt service requirement of supplier.