Shore Bancshares (SHBI) S-3 Shelf registration

Exhibit 12.1

Shore Bancshares, Inc.

Statement Regarding Computation of Ratios of Earnings to Fixed Charges

(Dollars in thousands)

Including interest on deposits

	Nine months ended
	September 30,			Years ended December 31,
	2008			2007			2006			2005			2004			2003
Earnings:
Add:
Pretax income	$	14,812		$	21,452		$	21,708		$	20,742		$	16,039		$	14,762
Fixed charges		16,777			24,105			19,074			11,899			9,010			9,743
Amortization of capitalized interest		-			-			-			-			-			-
Subtract:
Capitalized interest		-			-			-			-			-			-
Total earnings	$	31,589		$	45,557		$	40,782		$	32,641		$	25,049		$	24,505
Fixed charges:
Interest expense	$	16,777		$	24,105		$	19,074		$	11,899		$	9,010		$	9,743
Interest capitalized		-			-			-			-			-			-
Debt premium/discounts		-			-			-			-			-			-
Estimated interest with rent expense		-			-			-			-			-			-
Preferred dividend requirements		-			-			-			-			-			-
Total fixed charges	$	16,777		$	24,105		$	19,074		$	11,899		$	9,010		$	9,743
Ratio of Earnings to Fixed Charges		1.88			1.89			2.14			2.74			2.78			2.52
Excluding interest on deposits
	Nine months ended
	September 30,			Years ended December 31,
	2008			2007			2006			2005			2004			2003
Earnings:
Add:
Pretax income	$	14,812		$	21,452		$	21,708		$	20,742		$	16,039		$	14,762
Fixed charges		1,482			2,412			1,946			796			468			430
Amortization of capitalized interest		-			-			-			-			-			-
Subtract:
Capitalized interest		-			-			-			-			-			-
Total earnings	$	16,294		$	23,864		$	23,654		$	21,538		$	16,507		$	15,192
Fixed charges:
Interest expense	$	16,777		$	24,105		$	19,074		$	11,899		$	9,010		$	9,743
Less: deposit interest		(15,295	)		(21,693	)		(17,128	)		(11,103	)		(8,542	)		(9,313	)
Interest capitalized		-			-			-			-			-			-
Debt premium/discounts		-			-			-			-			-			-
Estimated interest with rent expense		-			-			-			-			-			-
Preferred dividend requirements		-			-			-			-			-			-
Total fixed charges	$	1,482		$	2,412		$	1,946		$	796		$	468		$	430
Ratio of Earnings to Fixed Charges		10.99			9.89			12.16			27.06			35.27			35.33