Exhibit 12.1
POPULAR, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Dollars in thousands)
| Nine Months ended | Year ended December 31, | |||||||||||||||||||||||||||
| September 30, 2015 | September 30, 2014 (1) | 2014 (1) | 2013 | 2012 | 2011 | 2010 | ||||||||||||||||||||||
Income (loss) from continuing operations before income taxes and cumulative effect of accounting changes | $ | 274,081 | ($ | 202,686 | ) | ($ | 156,892 | ) | $ | 320,305 | $ | 160,282 | $ | 239,148 | $ | 242,942 | ||||||||||||
Fixed charges : | ||||||||||||||||||||||||||||
Interest expense and capitalized interest | 145,031 | 623,254 | 688,280 | 315,685 | 379,086 | 505,523 | 653,603 | |||||||||||||||||||||
Estimated interest component of net rental payments | 10,393 | 6,996 | 11,665 | 9,874 | 9,752 | 13,470 | 26,688 | |||||||||||||||||||||
Total fixed charges including interest on deposits | 155,424 | 630,250 | 699,945 | 325,559 | 388,838 | 518,993 | 680,291 | |||||||||||||||||||||
Less: Interest on deposits | 80,479 | 79,614 | 105,087 | 137,364 | 184,089 | 269,487 | 350,881 | |||||||||||||||||||||
Total fixed charges excluding interest on deposits | 74,945 | 550,636 | 594,858 | 188,195 | 204,749 | 249,506 | 329,410 | |||||||||||||||||||||
Income before income taxes and fixed charges (including interest on deposits) | $ | 429,505 | $ | 427,564 | $ | 543,053 | $ | 645,864 | $ | 549,120 | $ | 758,141 | $ | 923,233 | ||||||||||||||
Income (loss) before income taxes and fixed charges (excluding interest on deposits) | $ | 349,026 | $ | 347,950 | $ | 437,966 | $ | 508,500 | $ | 365,031 | $ | 488,654 | $ | 572,352 | ||||||||||||||
Ratio of earnings to fixed charges | ||||||||||||||||||||||||||||
Including interest on deposits | 2.8 | (A | ) | (A | ) | 2.0 | 1.4 | 1.5 | 1.4 | |||||||||||||||||||
Excluding interest on deposits | 4.7 | (A | ) | (A | ) | 2.7 | 1.8 | 2.0 | 1.7 | |||||||||||||||||||
Ratio of earnings to fixed charges and preferred stock dividends | ||||||||||||||||||||||||||||
Including interest on deposits | 2.7 | (A | ) | (A | ) | 2.0 | 1.4 | 1.4 | 1.4 | |||||||||||||||||||
Excluding interest on deposits | 4.5 | (A | ) | (A | ) | 2.6 | 1.8 | 1.9 | 1.7 | |||||||||||||||||||
| (1) | The computation of earnings to fixed charges and preferred stock dividends excludes the results of discontinued operations. |
| (A) | During the nine months ended September 30, 2014, and during the year ended December 31, 2014, earnings were not sufficient to cover fixed charges or preferred stock dividends and the ratios were less than 1:1. The Corporation would have had to generate additional earnings of approximately $205 million and $161 million to achieve ratios of 1:1 in the corresponding nine months period and year ended period of 2014, respectively. |