Exhibit 12.2
INTERSTATE POWER AND LIGHT COMPANY
RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED DIVIDEND REQUIREMENTS
Nine Months Ended | |||||||||||||||||||||||
September 30, | Years Ended December 31, | ||||||||||||||||||||||
2017 | 2016 | 2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||||
(dollars in millions) | |||||||||||||||||||||||
EARNINGS: | |||||||||||||||||||||||
Net income | $208.1 | $199.3 | $225.8 | $196.2 | $191.8 | $188.3 | $158.3 | ||||||||||||||||
Income tax benefit (a) | (18.6 | ) | (2.5 | ) | (5.9 | ) | (22.7 | ) | (48.9 | ) | (36.3 | ) | (27.9 | ) | |||||||||
Income before income taxes | 189.5 | 196.8 | 219.9 | 173.5 | 142.9 | 152.0 | 130.4 | ||||||||||||||||
Fixed charges as defined | 84.0 | 76.7 | 103.7 | 97.2 | 91.0 | 82.3 | 79.3 | ||||||||||||||||
Total earnings as defined | $273.5 | $273.5 | $323.6 | $270.7 | $233.9 | $234.3 | $209.7 | ||||||||||||||||
FIXED CHARGES: | |||||||||||||||||||||||
Interest expense | $83.5 | $75.4 | $103.2 | $96.8 | $89.9 | $81.3 | $78.5 | ||||||||||||||||
Estimated interest component of rent expense | 0.5 | 1.3 | 0.5 | 0.4 | 1.1 | 1.0 | 0.8 | ||||||||||||||||
Total fixed charges as defined | $84.0 | $76.7 | $103.7 | $97.2 | $91.0 | $82.3 | $79.3 | ||||||||||||||||
Ratio of Earnings to Fixed Charges | 3.26 | 3.57 | 3.12 | 2.78 | 2.57 | 2.85 | 2.64 | ||||||||||||||||
Preferred dividend requirements (pre-tax basis) (b) | $7.0 | $7.6 | $9.9 | $9.0 | $7.6 | $8.7 | $10.4 | ||||||||||||||||
Fixed charges and preferred dividend requirements | $91.0 | $84.3 | $113.6 | $106.2 | $98.6 | $91.0 | $89.7 | ||||||||||||||||
Ratio of Earnings to Combined Fixed Charges and Preferred Dividend Requirements | 3.01 | 3.24 | 2.85 | 2.55 | 2.37 | 2.57 | 2.34 |
(a) Includes net interest related to unrecognized tax benefits.
(b) Preferred dividend requirements (pre-tax basis) are computed by dividing the preferred dividend requirements by one hundred percent minus the respective year-to-date effective income tax rate. Excludes the impact of charges related to Interstate Power and Light Company’s preferred stock redemption in 2013.