<TABLE>
EXHIBIT 12.1
SAN DIEGO GAS & ELECTRIC COMPANY
COMPUTATION OF RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
(Dollars in millions)
<CAPTION> For the nine
months ended
September 30,
1995 1996 1997 1998 1999 2000
--------- -------- -------- --------- --------- ---------
<S> <C> <C> <C> <C> <C> <C>
Fixed Charges and Preferred
Stock Dividends:
Interest:
Long-Term Debt $ 82 $ 76 $ 69 $ 55 $ 49 $37
Rate Reduction Bonds -- -- -- 41 35 24
Short-Term Debt & Other 18 13 14 14 40 32
Amortization of Debt
Discount and Expense,
Less Premium 5 5 5 8 7 4
Interest Portion of
Annual Rentals 10 8 10 7 5 2
--------- -------- -------- ------- --------- ----------
Total Fixed
Charges 115 102 98 125 136 99
--------- -------- -------- -------- --------- ----------
Preferred Dividends
for Purpose of Ratio (1) 14 13 13 11 10 10
--------- -------- -------- -------- --------- ---------
Total Fixed Charges
and Preferred Stock
Dividends For
Purpose of Ratio $129 $115 $111 $136 $146 $109
========== ======== ======== ======== ========= =========
Earnings:
Net Income (before
preferred dividend
requirements) $219 $222 $238 $191 $199 $112
Add:
Fixed charges
(from above) 115 102 98 125 136 99
Less: Fixed charges
capitalized 2 1 2 1 1 --
Taxes on Income 173 198 219 141 126 114
--------- - ------- -------- --------- --------- --------
Total Earnings for
Purpose of Ratio $505 $521 $553 $456 $460 $325
========= ======== ======== ======== ========= ========
Ratio of Earnings
to Combined Fixed
Charges and Preferred
Stock Dividends 3.92 4.54 5.00 3.36 3.15 2.98
========= ======== ======== ======== ========= ========
(1) In computing this ratio, "Preferred dividends" represents the before-tax earnings necessary
to pay such dividends, computed at the effective tax rates for the applicable periods.
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