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, 2016 | September 30, 2015 | 2015 | 2014 | 2013 | 2012 | 2011 | ||||||||||||||||||||||
Income (loss) from continuing operations before income taxes and cumulative effect of accounting changes (1) | $ | 293,277 | $ | 274,081 | $ | 388,604 | ($ | 156,892 | ) | $ | 279,796 | $ | 122,464 | $ | 212,938 | |||||||||||||
Fixed charges : | ||||||||||||||||||||||||||||
Interest expense and capitalized interest | 156,736 | 145,031 | 193,840 | 688,280 | 315,685 | 379,086 | 505,523 | |||||||||||||||||||||
Estimated interest component of net rental payments | 7,752 | 10,393 | 11,391 | 11,665 | 9,874 | 9,752 | 13,470 | |||||||||||||||||||||
Total fixed charges including interest on deposits | 164,488 | 155,424 | 205,231 | 699,945 | 325,559 | 388,838 | 518,993 | |||||||||||||||||||||
Less: Interest on deposits | 92,835 | 80,479 | 107,533 | 105,087 | 137,364 | 184,089 | 269,487 | |||||||||||||||||||||
Total fixed charges excluding interest on deposits | 71,653 | 74,945 | 97,698 | 594,858 | 188,195 | 204,749 | 249,506 | |||||||||||||||||||||
Income before income taxes and fixed charges (including interest on deposits) | $ | 457,765 | $ | 429,505 | $ | 593,835 | $ | 543,053 | $ | 605,355 | $ | 511,302 | $ | 731,931 | ||||||||||||||
Income before income taxes and fixed charges (excluding interest on deposits) | $ | 364,930 | $ | 349,026 | $ | 486,302 | $ | 437,966 | $ | 467,991 | $ | 327,213 | $ | 462,444 | ||||||||||||||
Ratio of earnings to fixed charges | ||||||||||||||||||||||||||||
Including interest on deposits | 2.8 | 2.8 | 2.9 | (A | ) | 1.9 | 1.3 | 1.4 | ||||||||||||||||||||
Excluding interest on deposits | 5.1 | 4.7 | 5.0 | (A | ) | 2.5 | 1.6 | 1.9 | ||||||||||||||||||||
Ratio of earnings to fixed charges and preferred stock dividends | ||||||||||||||||||||||||||||
Including interest on deposits | 2.7 | 2.7 | 2.8 | (A | ) | 1.8 | 1.3 | 1.4 | ||||||||||||||||||||
Excluding interest on deposits | 5.0 | 4.5 | 4.8 | (A | ) | 2.4 | 1.6 | 1.8 |
(1) | The computation of earnings to fixed charges and preferred stock dividends excludes the results of discontinued operations. |
(A) | During 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 $161 million to achieve ratios of 1:1 in the corresponding period of 2014. |