Wells Fargo & Company (WFC) 10-K 2011 FY Annual report

EXHIBIT 12(a)

WELLS FARGO & COMPANY AND SUBSIDIARIES

COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES

		,		,		,		,		,
	Year ended December 31,
(in millions)	2011		2010		2009		2008		2007
Earnings including interest on deposits(1):
Income before income tax expense	$	23,656		19,001		17,998		3,300		11,835
Less: Net income from noncontrolling interests		342		301		392		43		208
Income before income tax expense and noncontrolling interests		23,314		18,700		17,606		3,257		11,627
Fixed charges		7,013		8,463		10,455		9,991		14,428
		30,327		27,163		28,061		13,248		26,055
Fixed charges (1):
Interest expense		6,649		8,039		9,950		9,755		14,203
Estimated interest component of net rental expense		364		424		505		236		225
		7,013		8,463		10,455		9,991		14,428
Ratio of earnings to fixed charges (2)		4.32		3.21		2.68		1.33		1.81
Earnings excluding interest on deposits:
Income before income tax expense and noncontrolling interests		23,314		18,700		17,606		3,257		11,627
Fixed charges		4,738		5,631		6,681		5,470		6,276
		28,052		24,331		24,287		8,727		17,903
Fixed charges:
Interest expense		6,649		8,039		9,950		9,755		14,203
Less: Interest on deposits		2,275		2,832		3,774		4,521		8,152
Estimated interest component of net rental expense		364		424		505		236		225
	$	4,738		5,631		6,681		5,470		6,276
Ratio of earnings to fixed charges (2)		5.92		4.32		3.64		1.60		2.85

(1) As defined in Item 503(d) of Regulation S-K.

(2) These computations are included herein in compliance with Securities and Exchange Commission regulations. However, management believes that fixed charge ratios are not meaningful measures for the business of the Company because of two factors. First, even if there was no change in net income, the ratios would decline with an increase in the proportion of income which is tax-exempt or, conversely, they would increase with a decrease in the proportion of income which is tax-exempt. Second, even if there was no change in net income, the ratios would decline if interest income and interest expense increase by the same amount due to an increase in the level of interest rates or, conversely, they would increase if interest income and interest expense decrease by the same amount due to a decrease in the level of interest rates.