|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
|-------------------------------------------------------------------------------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|--------|
| (dollars      in millions)                                                    |   | 2007   |   |   | 2006   |   |   | 2005   |   |   | 2004   |   |   | 2003   |   |
| Earnings, as      defined:                                                    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      before cumulative effect of changes in accounting      principles |   | $      | 501    |   |   | $      | 457    |   |   | $      | 493    |   |   | $      | 461    |   |   | $ | 504 |   |
| Fixed      charges, as below                                                  |   |   | 223    |   |   |   | 225    |   |   |   | 205    |   |   |   | 201    |   |   |   | 206 |   |
| Income      taxes, as below                                                   |   |   | 290    |   |   |   | 260    |   |   |   | 234    |   |   |   | 234    |   |   |   | 233 |   |
| Total      earnings, as defined                                               |   | $      | 1,014  |   |   | $      | 942    |   |   | $      | 932    |   |   | $      | 896    |   |   | $ | 943 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Fixed Charges, as      defined:                                               |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest      on long-term debt                                               |   | $      | 214    |   |   | $      | 218    |   |   | $      | 191    |   |   | $      | 183    |   |   | $ | 188 |   |
| Other      interest                                                           |   |   | 1      |   |   |   | (1     | )      |   |   | 6      |   |   |   | 11     |   |   |   | 11 |   |
| Imputed      interest factor in rentals – charged                       |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| principally      to operating expenses                                        |   |   | 8      |   |   |   | 8      |   |   |   | 8      |   |   |   | 7      |   |   |   | 7 |   |
| Total      fixed charges, as defined                                          |   |   | 223    |   |   |   | 225    |   |   |   | 205    |   |   |   | 201    |   |   |   | 206 |   |
| Preferred      dividends, as defined                                          |   |   | 5      |   |   |   | 5      |   |   |   | 4      |   |   |   | 5      |   |   |   | 4 |   |
| Total      fixed charges and preferred dividends combined                     |   | $      | 228    |   |   | $      | 230    |   |   | $      | 209    |   |   | $      | 206    |   |   | $ | 210 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      Taxes:                                                            |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Income      tax expense                                                       |   | $      | 295    |   |   | $      | 265    |   |   | $      | 239    |   |   | $      | 239    |   |   | $ | 241 |   |
| Included      in AFUDC – deferred taxes in                              |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| book      depreciation                                                        |   |   | (5     | )      |   |   | (5     | )      |   |   | (5     | )      |   |   | (5     | ) |   |   | (8 | ) |
| Total      income taxes                                                       |   | $      | 290    |   |   | $      | 260    |   |   | $      | 234    |   |   | $      | 234    |   |   | $ | 233 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ratio      of Earnings to Fixed Charges                                       |   |   | 4.55   |   |   |   | 4.19   |   |   |   | 4.55   |   |   |   | 4.45   |   |   |   | 4.59 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Ratio      of Earnings to Fixed Charges and Preferred Dividends      Combined |   |   | 4.45   |   |   |   | 4.10   |   |   |   | 4.46   |   |   |   | 4.36   |   |   |   | 4.50 |   |
|                                                                          |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |

----