Popular (BPOP) 10-Q 2008 Q2 Quarterly report

Exhibit 12.1

POPULAR, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
(Dollars in thousands)

	For the six months ended				Year Ended December 31,
	June 30,		June 30,
	2008		2007		2007			2006		2005		2004		2003
Income before income taxes	$	106,685	$	214,633		($149,238	)	$	455,716	$	680,942	$	628,067	$	597,410
Fixed charges:
Interest expense		586,024		832,107		1,678,781			1,636,531		1,241,652		840,754		749,550
Estimated interest component of net rental payments		18,719		18,534		37,187			31,047		27,454		25,068		22,940
Total fixed charges including interest on deposits		604,743		850,641		1,715,968			1,667,578		1,269,106		865,822		772,490
Less: Interest on deposits		362,985		355,832		765,793			580,094		430,813		330,351		342,891
Total fixed charges excluding interest on deposits		241,758		494,809		950,175			1,087,484		838,293		535,471		429,599
Income before income taxes and fixed charges(including interest on deposits)	$	711,428	$	1,065,274	$	1,566,730		$	2,123,294	$	1,950,048	$	1,493,889	$	1,369,900
Income before income taxes and fixed charges(excluding interest on deposits)	$	348,443	$	709,442	$	800,937		$	1,543,200	$	1,519,235	$	1,163,538	$	1,027,009
Preferred stock dividends		8,981		5,956		11,913			11,913		11,913		11,913		9,919
Ratio of earnings to fixed charges
Including Interest on Deposits		1.2		1.3		(A	)		1.3		1.5		1.7		1.8
Excluding Interest on Deposits		1.4		1.4		(A	)		1.4		1.8		2.2		2.4
Ratio of earnings to fixed charges & Preferred Stock Dividends
Including Interest on Deposits		1.2		1.2		(A	)		1.3		1.5		1.7		1.7
Excluding Interest on Deposits		1.4		1.4		(A	)		1.4		1.8		2.1		2.3

(A) During 2007, earnings were not sufficient to cover fixed charges or preferred dividens and the ratios were less than 1:1. The Corporation would have had to generate additional earnings of $125 million to achieve ratios of 1:1 in 2007.