Citizens Financial (CFG) 10-Q 2018 Q2 Quarterly report

EXHIBIT 12.2

CITIZENS FINANCIAL GROUP, INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS

	Three Months		Six Months		Year Ended December 31,
(dollars in millions)	Ended June 30, 2018				2017		2016		2015		2014		2013(2)
Computation of Earnings:
Income (loss) from continuing operations before income tax expense		$549		$1,050		$1,912		$1,534		$1,263		$1,268		($3,468	)
Fixed charges	303		560		813		573		510		417		499
Total Adjusted Earnings		$852		$1,610		$2,725		$2,107		$1,773		$1,685		($2,969	)
Computation of Fixed Charges:
Interest expense		$290		$527		$747		$508		$452		$363		$443
Portion of net rental expense deemed representative of interest (1)	13		26		52		51		51		54		56
Preferred distribution	—		7		14		14		7		—		—
Total Fixed Charges		$303		$560		$813		$573		$510		$417		$499
Ratio of Earnings to Fixed Charges and Preferred Dividends	2.8		2.9		3.3		3.7		3.5		4.0		(5.9		)

⁽¹⁾ The portion of rents shown as representative of the interest factor is one-quarter of total net operating lease expenses.

⁽²⁾ The deficiency for this period was $3,468 million due in part to a goodwill impairment charge of $4,435 million ($4,080 million after tax).