**KENTUCKY        POWER COMPANY**

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

**(in        thousands except ratio data)**

|                                                                                                                                                          |   | **Year                    Ended December                    31,**          |   | **Twelve                    Months Ended**  |   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------|--------|
|                                                                                                                                                          |   | **2001**                                                                                                           |   | **2002**                                    |   | **2003**  |   | **2004**  |   | **2005**  |   | **3/31/2006**  |   |
| **EARNINGS**                                                                                                                                                  |   |                                                                                                          |   |                                   |   |     |   |     |   |     |   |     |   |
| Income                    Before Income Taxes                                                                                                                 |   | $                                                                                                                       | 31,607 |                                             | $      | 31,429 |   | $ | 43,139 |   | $ | 34,576 |   | $ | 32,945 |   | $ | 34,495 |   |
| Fixed                    Charges (as below)                                                                                                                   |   |                                                                                                                    | 29,066 |                                             |   | 29,470 |   |   | 29,943 |   |   | 30,404 |   |   | 29,928 |   |   | 29,938 |   |
| **Total                    Earnings**                                                                                                                         |   | $                                                                                                                       | 60,673 |                                             | $      | 60,899 |   | $ | 73,082 |   | $ | 64,980 |   | $ | 62,873 |   | $ | 64,433 |   |
|                                                                                                                                                          |   |                                                                                                                    |   |                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **FIXED                    CHARGES**                                                                                                                          |   |                                                                                                                    |   |                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Interest                    Expense                                                                                                                           |   | $                                                                                                                       | 27,361 |                                             | $      | 26,836 |   | $ | 28,620 |   | $ | 29,470 |   | $ | 29,071 |   | $ | 28,997 |   |
| Credit                    for Allowance for Borrowed Funds Used                                             During Construction |   |                                                                                                                    | 505    |                                             |   | 1,634 |   |   | 723 |   |   | 234 |   |   | 257 |   |   | 341 |   |
| Estimated                    Interest Element in Lease Rentals                                                                                                |   |                                                                                                                    | 1,200  |                                             |   | 1,000 |   |   | 600 |   |   | 700 |   |   | 600 |   |   | 600 |   |
| **Total                    Fixed Charges**                                                                                                                    |   | $                                                                                                                       | 29,066 |                                             | $      | 29,470 |   | $ | 29,943 |   | $ | 30,404 |   | $ | 29,928 |   | $ | 29,938 |   |
|                                                                                                                                                          |   |                                                                                                                    |   |                                             |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| **Ratio                    of Earnings to Fixed Charges**                                                                                                     |   |                                                                                                                    | 2.08   |                                             |   | 2.06 |   |   | 2.44 |   |   | 2.13 |   |   | 2.10 |   |   | 2.15 |   |