EXHIBIT 12.1
THE GOLDMAN SACHS GROUP, INC. and SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND RATIOS OF EARNINGS
TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
One Month | ||||||||||||||||||||||||||||
Three Months | Year Ended | Ended | ||||||||||||||||||||||||||
Ended March | December | Year Ended November | December | |||||||||||||||||||||||||
$ in millions | 2011 | 2010 | 2009 | 2008 | 2007 | 2006 | 2008 | |||||||||||||||||||||
Net earnings/(loss) | $ | 2,735 | $ | 8,354 | $ | 13,385 | $ | 2,322 | $ | 11,599 | $ | 9,537 | $ | (780 | ) | |||||||||||||
Add: | ||||||||||||||||||||||||||||
Provision/(benefit) for taxes | 1,305 | 4,538 | 6,444 | 14 | 6,005 | 5,023 | (478 | ) | ||||||||||||||||||||
Portion of rents representative of an interest factor | 40 | 169 | 145 | 146 | 137 | 135 | 13 | |||||||||||||||||||||
Interest expense on all indebtedness | 1,749 | 6,806 | 6,500 | 31,357 | 41,981 | 31,688 | 1,002 | |||||||||||||||||||||
Pre-tax earnings/(loss), as adjusted | $ | 5,829 | $ | 19,867 | $ | 26,474 | $ | 33,839 | $ | 59,722 | $ | 46,383 | $ | (243 | ) | |||||||||||||
Fixed charges1: | ||||||||||||||||||||||||||||
Portion of rents representative of an interest factor | $ | 40 | $ | 169 | $ | 145 | $ | 146 | $ | 137 | $ | 135 | $ | 13 | ||||||||||||||
Interest expense on all indebtedness | 1,749 | 6,810 | 6,570 | 31,444 | 42,051 | 31,755 | 1,008 | |||||||||||||||||||||
Total fixed charges | $ | 1,789 | $ | 6,979 | $ | 6,715 | $ | 31,590 | $ | 42,188 | $ | 31,890 | $ | 1,021 | ||||||||||||||
Preferred stock dividend requirements | 2,699 | 989 | 1,767 | 283 | 291 | 212 | 400 | |||||||||||||||||||||
Total combined fixed charges and preferred stock dividends | $ | 4,488 | $ | 7,968 | $ | 8,482 | $ | 31,873 | $ | 42,479 | $ | 32,102 | $ | 1,421 | ||||||||||||||
Ratio of earnings to fixed charges | 3.26 | x | 2.85 | x | 3.94 | x | 1.07 | x | 1.42 | x | 1.45 | x | N/A | 2 | ||||||||||||||
Ratio of earnings to combined fixed charges and preferred stock dividends | 1.30 | x | 2.49 | x | 3.12 | x | 1.06 | x | 1.41 | x | 1.44 | x | N/A | 2 | ||||||||||||||
1. | Fixed charges include capitalized interest of $0, $4 million, $70 million, $87 million, $70 million, $67 million, and $6 million for the three months ended March 2011 and years ended December 2010, December 2009, November 2008, November 2007, November 2006 and one month ended December 2008, respectively. |
2. | Earnings for the one month ended December 2008 were inadequate to cover total fixed charges and total combined fixed charges and preferred stock dividends. The coverage deficiencies for total fixed charges and total combined fixed charges and preferred stock dividends were $1.26 billion and $1.66 billion, respectively. |