Exhibit 12
IPALCO ENTERPRISES, INC.
Ratio of Earnings to Fixed Charges
Nine Months Ended September 30, | Years Ended December 31, | |||||||||||||||||||||||
2017 | 2016 | 2015 | 2014 | 2013 | 2012 | |||||||||||||||||||
Net Income | $ | 83,868 | $ | 131,060 | $ | 59,524 | $ | 77,968 | $ | 64,049 | $ | 71,996 | ||||||||||||
Addback: Taxes | 37,697 | 61,209 | 31,566 | 48,044 | 37,742 | 47,699 | ||||||||||||||||||
Less: Income or loss from equity investees | (320) | (223) | (404) | (188) | (305) | (122) | ||||||||||||||||||
Pretax Income from continuing operations before income taxes | $ | 121,245 | $ | 192,046 | $ | 90,686 | $ | 125,824 | $ | 101,486 | $ | 119,573 | ||||||||||||
Add: | ||||||||||||||||||||||||
Fixed charges | $ | 97,135 | $ | 122,793 | $ | 119,107 | $ | 120,562 | $ | 116,707 | $ | 115,691 | ||||||||||||
Distributed income of equity investees | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
Subtotal | $ | 218,380 | $314,839 | $ | 209,793 | $ | 246,386 | $ | 218,193 | $ | 235,264 | |||||||||||||
Less: | ||||||||||||||||||||||||
Interest capitalized | $ | (16,763 | ) | $ | (23,866 | ) | $ | (12,809 | ) | $ | (4,963 | ) | $ | (2,517 | ) | $ | (1,059 | ) | ||||||
Preference Security Dividends | (3,523 | ) | (4,753 | ) | (5,012 | ) | (5,276 | ) | (5,207 | ) | (5,437 | ) | ||||||||||||
Earnings | $ | 198,094 | $ | 286,220 | $ | 191,972 | $ | 236,147 | $ | 210,468 | $ | 228,768 | ||||||||||||
Fixed charges: | ||||||||||||||||||||||||
Interest on long-term debt | $ | 89,077 | $ | 111,611 | $ | 106,936 | $ | 108,104 | $ | 104,602 | $ | 103,435 | ||||||||||||
Interest on short-term debt | 1,263 | 2,240 | 2,063 | 1,865 | 1,794 | 1,913 | ||||||||||||||||||
Amortization of debt expense | 3,241 | 4,147 | 5,067 | 5,275 | 5,075 | 4,875 | ||||||||||||||||||
Preferred dividends | 3,523 | 4,753 | 5,012 | 5,276 | 5,207 | 5,437 | ||||||||||||||||||
Net interest factor attributable to rents (1) | 30 | 42 | 29 | 42 | 28 | 31 | ||||||||||||||||||
Total fixed charges | $ | 97,135 | $ | 122,793 | $ | 119,107 | $ | 120,562 | $ | 116,707 | $ | 115,691 | ||||||||||||
Ratio of earnings to fixed charges | 2.04 | 2.33 | 1.61 | 1.96 | 1.80 | 1.98 |
(1) The Company considers one-third of rent expense to represent interest expense.