**AEP        TEXAS CENTRAL COMPANY AND SUBSIDIARY **

**Computation        of Consolidated Ratios of Earnings to Fixed Charges **

**(in        thousands except ratio data)**

|                                                                                                            |   | **Year                  Ended December 31,** |    |
|-----------------------------------------------------------------------------------------------------------------|--------|----------------------------------------------|---------|
|                                                                                                            |   | **2001**                                     |    | **2002** |   | **2003** |   | **2004** |   | **2005** |   |
| **EARNINGS**                                                                                                    |   |                                    |    |    |   |    |   |    |   |    |   |
| Income                  Before Income Taxes                                                                     |   | $                                            | 293,425 |   | $ | 418,107 |   | $ | 322,719 |   | $ | 429,714 |   | $ | 63,213 |   |
| Fixed                  Charges (as below)                                                                       |   |                                         | 125,194 |   |   | 132,237 |   |   | 136,143 |   |   | 125,701 |   |   | 115,439 |   |
| **Total                  Earnings**                                                                             |   | $                                            | 418,619 |   | $ | 550,344 |   | $ | 458,862 |   | $ | 555,415 |   | $ | 178,652 |   |
|                                                                                                            |   |                                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **FIXED                  CHARGES**                                                                              |   |                                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                Expense                                                                                 |   | $                                            | 116,268 |   | $ | 125,871 |   | $ | 133,812 |   | $ | 123,785 |   | $ | 112,006  |   |
| Credit                  for Allowance for Borrowed Funds Used                     During Construction |   |                                         | 6,943   |   |   | 4,620 |   |   | 567 |   |   | 750 |   |   | 1,508  |   |
| Trust                Dividends                                                                                  |   |                                         | -       |   |   | (649 | ) |   | (372 | ) |   | (216 | ) |   | -  |   |
| Estimated                  Interest Element in Lease Rentals                                                    |   |                                         | 1,983   |   |   | 2,395 |   |   | 2,136 |   |   | 1,382 |   |   | 1,925 |   |
| **Total                  Fixed Charges**                                                                        |   | $                                            | 125,194 |   | $ | 132,237 |   | $ | 136,143 |   | $ | 125,701 |   | $ | 115,439 |   |
|                                                                                                            |   |                                         |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Ratio                  of Earnings to Fixed Charges**                                                         |   |                                         | 3.34    |   |   | 4.16 |   |   | 3.37 |   |   | 4.41 |   |   | 1.54 |   |