Exhibit 12.2
JPMorgan Chase & Co.
JPMorgan Chase & Co.
Computation of Ratio of Earnings to Fixed Charges
and Preferred Stock Dividend Requirements
and Preferred Stock Dividend Requirements
Year ended December 31, 2006 (in millions, except ratios) | ||||
Excluding interest on deposits | ||||
Income from continuing operations before income taxes | $ | 19,886 | ||
Fixed charges: | ||||
Interest expense | 20,823 | |||
One-third of rents, net of income from subleases(a) | 357 | |||
Total fixed charges | 21,180 | |||
Less: Equity in undistributed income of affiliates | (152) | |||
Income from continuing operations before income taxes and fixed charges, excluding capitalized interest | $ | 40,914 | ||
Fixed charges, as above | $ | 21,180 | ||
Preferred stock dividends (pretax) | 6 | |||
Fixed charges including preferred stock dividends | $ | 21,186 | ||
Ratio of earnings to fixed charges and preferred stock dividend requirements | 1.93 | |||
Including interest on deposits | ||||
Fixed charges including preferred stock dividends, as above | $ | 21,186 | ||
Add: Interest on deposits | 17,042 | |||
Total fixed charges including preferred stock dividends and interest on deposits | $ | 38,228 | ||
Income from continuing operations before income taxes and fixed charges, excluding capitalized interest, as above | $ | 40,914 | ||
Add: Interest on deposits | 17,042 | |||
Total Income from continuing operations before income taxes, fixed charges and interest on deposits | $ | 57,956 | ||
Ratio of earnings to fixed charges and preferred stock dividend requirements | 1.52 | |||
(a) | The proportion deemed representative of the interest factor. |
163