HAWAIIAN ELECTRIC CO INC - FORM 10-Q - EX-12.2 - HECO COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - November 2, 2009

Attached files

file filename
10-Q - FORM 10-Q - HAWAIIAN ELECTRIC CO INCd10q.htm
EX-32.1 - HEI SECTION 906 CERTIFICATION OF CHIEF EXECUTIVE OFFICER - HAWAIIAN ELECTRIC CO INCdex321.htm
EX-12.1 - HEI COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES - HAWAIIAN ELECTRIC CO INCdex121.htm
EX-31.3 - HECO SECTION 302 CERTIFICATION OF CHIEF EXECUTIVE OFFICER - HAWAIIAN ELECTRIC CO INCdex313.htm
EX-32.4 - HECO SECTION 906 CERTIFICATION OF CHIEF FINANCIAL OFFICER - HAWAIIAN ELECTRIC CO INCdex324.htm
EX-31.4 - HECO SECTION 302 CERTIFICATION OF CHIEF FINANCIAL OFFICER - HAWAIIAN ELECTRIC CO INCdex314.htm
EX-31.1 - HEI SECTION 302 CERTIFICATION OF CHIEF EXECUTIVE OFFICER - HAWAIIAN ELECTRIC CO INCdex311.htm
EX-32.3 - HECO SECTION 906 CERTIFICATION OF CHIEF EXECUTIVE OFFICER - HAWAIIAN ELECTRIC CO INCdex323.htm
EX-31.2 - HEI SECTION 302 CERTIFICATION OF CHIEF FINANCIAL OFFICER - HAWAIIAN ELECTRIC CO INCdex312.htm
EX-32.2 - HEI SECTION 906 CERTIFICATION OF CHIEF FINANCIAL OFFICER - HAWAIIAN ELECTRIC CO INCdex322.htm
EX-10.1 - RESOLUTION OF THE COMPENSATION COMMITTEE OF THE BOARD OF DIRECTORS OF HEI, INC. - HAWAIIAN ELECTRIC CO INCdex101.htm

HECO Exhibit 12.2

Hawaiian Electric Company, Inc. and Subsidiaries

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(unaudited)

 

     Nine months ended
September 30 		    Years ended December 31  
     2009     2008     2008     2007     2006     2005     2004  
(dollars in thousands)                                           

Fixed charges

               

Total interest charges

    $ 41,598      $ 40,712      $ 54,757      $ 53,268      $ 52,563      $ 49,408      $ 49,588   

Interest component of rentals

      1,898        1,729        2,211        2,250        1,863        1,311        909   

Pretax preferred stock dividend requirements of subsidiaries

      1,079        1,093        1,458        1,438        1,467        1,461        1,459   
                                                        

Total fixed charges

    $ 44,575      $ 43,534      $ 58,426      $ 56,956      $ 55,893      $ 52,180      $ 51,956   
                                                        

Earnings

               

Net income attributable to HECO

    $ 56,951      $ 78,759      $ 93,055      $ 53,236      $ 76,027      $ 73,882      $ 82,257   

Fixed charges, as shown

      44,575        43,534        58,426        56,956        55,893        52,180        51,956   

Income taxes (see note below)

      32,989        47,065        55,763        30,937        46,440        44,623        49,479   

Allowance for borrowed funds used during construction

      (4,467 )      (2,564 )      (3,741 )      (2,552 )      (2,879 )      (2,020 )      (2,542 ) 
                                                        

Earnings available for fixed charges

    $ 130,048      $ 166,794      $ 203,503      $ 138,577      $ 175,481      $ 168,665      $ 181,150   
                                                        

Ratio of earnings to fixed charges

      2.92        3.83        3.48       2.43       3.14       3.23       3.49   
                                                        

Note:

               

Income taxes are comprised of the following:

               

Income tax expense relating to operating income from regulated activities

    $ 33,228      $ 47,507      $ 56,307      $ 34,126      $ 47,381      $ 45,029      $ 50,059   

Income tax benefits relating to results from nonregulated activities

      (239 )      (442 )      (544 )      (3,189 )      (941 )      (406 )      (580 ) 
                                                        
   $ 32,989      $ 47,065      $ 55,763      $ 30,937      $ 46,440      $ 44,623      $ 49,479   
                                                        

For purposes of calculating the ratio of earnings to fixed charges, “earnings” represent the sum of (i) pretax income before preferred stock dividends of HECO and before adjustment for undistributed income or loss from equity investees and (ii) fixed charges (as hereinafter defined, but excluding the allowance for borrowed funds used during construction). “Fixed charges” represent the sum of (i) interest, whether capitalized or expensed, (ii) amortization of debt expense and discount or premium related to any indebtedness, whether capitalized or expensed, (iii) the estimate of the interest within rental expense and (iv) the preferred stock dividend requirements of HELCO and MECO, increased to an amount representing the pretax earnings required to cover such dividend requirements.