| PNM RESOURCES, INC. AND SUBSIDIARIES |                                                                                                                                                                                                                                                                                                                                                           |   Exhibit 12.1                                                                                                                                                                           |   |
|--------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| Ratio of Earnings to Fixed Charges   |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |
| (In thousands, except ratio)         |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           | Nine Months Ended                                                                                                                                                                             |   | Year Ended December 31, |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           | September 30, 2009                                                                                                                                                                            |   | 2008 |   | 2007 |   | 2006 |   | 2005 |   | 2004 |   |
|                                 | Fixed charges, as defined by the Securities and Exchange                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Commission:                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Interest on long-term debt (including interest capitalized)                                                                                                                                                                                                                                                                                                    |  $                       84,101                                       |   |  $                   98,455 |   |  $              85,757 |   |  $         87,755 |   |  $        67,463 |   |  $            35,445 |   |
|                                 | Amortization of debt premium, discount and expenses                                                                                                                                                                                                                                                                                                            |                             4,247                 |   |                         6,386 |   |                    6,566 |   |               4,729 |   |              3,962 |   |                  3,036 |   |
|                                 | Other interest (including interest capitalized)                                                                                                                                                                                                                                                                                                                |                             8,761                 |   |                       36,503 |   |                  38,542 |   |             48,064 |   |            15,939 |   |                  3,464 |   |
|                                 | Estimated interest factor of lease rental charges                                                                                                                                                                                                                                                                                                              |                           11,658                            |   |                       17,632 |   |                  19,308 |   |             19,235 |   |            19,934 |   |                18,843 |   |
|                                 | Preferred dividend requirements of subsidiary                                                                                                                                                                                                                                                                                                                  |                                588 |   |                            689 |   |                       556 |   |                  798 |   |              4,063 |   |                     881 |   |
|                                 |      Total Fixed Charges                                                                                                                                                                                                                                                                                                              |  $                     109,355                                                  |   |  $                 159,665 |   |  $            150,729 |   |  $       160,581 |   |  $      111,361 |   |  $            61,669 |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Earnings, as defined by the Securities and Exchange                                                                                                                                                                                                                                                                                                            |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Commission:                                                                                                                                                                                                                                                                                                                                                    |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Earnings from continuing operations before income taxes and non-controlling interest                                                                                                                                                                                                                                                                           |  $                     115,863                                                  |   |  $               (388,381) | * |  $              63,112 |   |  $       164,018 |   |  $        76,502 |   |  $          107,060 |   |
|                                 | (Earnings) loss of equity investee                                                                                                                                                                                                                                                                                                                             |                              (944)           |   |                       29,687 |   |                   (7,581) |   |                     - |   |                    - |   |                       - |   |
|                                 | Earnings from continuing operations before income taxes, non-controlling interest,  and investee earnings                                                                                                                                                                                                                                            |                         114,919                                       |   |                   (358,694) |   |                  55,531 |   |           164,018 |   |            76,502 |   |              107,060 |   |
|                                 | Fixed charges as above                                                                                                                                                                                                                                                                                                                                         |                         109,355                                       |   |                     159,665 |   | 150,729 |   | 160,581 |   | 111,361 |   | 61,669 |   |
|                                 | Interest capitalized                                                                                                                                                                                                                                                                                                                                           |                           (6,306)                           |   |                       (8,301) |   |                 (10,419) |   |              (6,128) |   |            (3,626) |   |                (2,445) |   |
|                                 | Non-controlling interest in earnings of Valencia                                                                                                                                                                                                                                                                                                               |                           (7,890)                           |   |                       (7,179) |   |                          - |   |                     - |   |                    - |   |                       - |   |
|                                 | Preferred dividend requirements of subsidiary                                                                                                                                                                                                                                                                                                                  |                              (588)           |   |                          (689) |   | (556) |   | (798) |   | (4,063) |   | (881) |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Earnings Available for Fixed Charges                                                                                                                                                                                                                                                                                                                           |  $                     209,490                                                  |   |  $               (215,198) |   |  $            195,285 |   |  $       317,673 |   |  $      180,174 |   |  $          165,403 |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | Ratio of Earnings to Fixed Charges                                                                                                                                                                                                                                                                                                                             |                               1.92      |   | N/M | ** | 1.30 |   | 1.98 |   | 1.62 |   | 2.68 |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | * The presentation of non-controlling interest in earnings of Valencia was changed effective January 1, 2009 in accordance with an amendment to GAAP.  The 2008 presentation has been changed                                                                                                                                                        |                                                                                                                                                                                          |
|                                 | to be consistent with 2009.  There is no impact on periods prior to 2008.                                                                                                                                                                                                                                                                            |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 |                                                                                                                                                                                                                                                                                                                                                           |                                                                                                                                                                                          |   |   |   |   |   |   |   |   |   |   |   |
|                                 | ** The ratio of earnings to fixed charges for the year ended December 31, 2008 is not meaningful since earnings available for fixed charges is negative.  The shortfall in the earnings available for fixed charges to achieve a ratio of earnings to fixed chargesof 1.00 amounted to $374.9 million for the twelve months ended December 31, 2008. |                                                                                                                                                                                          |
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