KeyCorp (KEY) 10-K 2009 FY Annual report

EXHIBIT 12

KEYCORP
COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS TO
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(dollars in millions)
(unaudited)

	Year ended December 31,
	2009			2008			2007			2006			2005
Computation of Earnings
Net income (loss) attributable to Key	$	(1,335	)	$	(1,468	)	$	919		$	1,055		$	1,129
Add: Provision for income taxes		(1,035	)		437			277			440			428
Less: Income (loss) from discontinued operations, net of taxes		(48	)		(173	)		(16	)		(127	)		53
Less: Cumulative effect of accounting change, net of taxes		—			—			—			5			—
Income (loss) before income taxes and cumulative effect of accounting change		(2,322	)		(858	)		1,212			1,617			1,504
Fixed charges, excluding interest on deposits		314			597			835			787			624
Total earnings for computation, excluding interest on deposits		(2,008	)		(261	)		2,047			2,404			2,128
Interest on deposits		1,119			1,468			1,845			1,576			976
Total earnings for computation, including interest on deposits	$	(889	)	$	1,207		$	3,892		$	3,980		$	3,104
Computation of Fixed Charges
Net rental expense	$	122		$	111		$	108		$	122		$	149
Portion of net rental expense deemed representative of interest	$	18		$	28		$	30		$	34		$	38
Interest on short-term borrowed funds		21			187			312			201			153
Interest on long-term debt		275			382			493			552			433
Total fixed charges, excluding interest on deposits		314			597			835			787			624
Interest on deposits		1,119			1,468			1,845			1,576			976
Total fixed charges, including interest on deposits	$	1,433		$	2,065		$	2,680		$	2,363		$	1,600
Combined Fixed Charges and Preferred Stock Dividends
Preferred stock dividend requirement on a pre-tax basis	$	294		$	42			—			—			—
Total fixed charges, excluding interest on deposits		314			597		$	835		$	787		$	624
Combined fixed charges and preferred stock dividends, excluding interest on deposits		608			639			835			787			624
Interest on deposits		1,119			1,468			1,845			1,576			976
Combined fixed charges and preferred stock dividends, including interest on deposits	$	1,727		$	2,107		$	2,680		$	2,363		$	1,600
Ratio of Earnings to Fixed Charges
Excluding deposit interest		(6.39	)x		(.44	)x		2.45	x		3.05	x		3.41	x
Including deposit interest		(.62	)x		.58	x		1.45	x		1.68	x		1.94	x
Ratio of Earnings to Combined Fixed Charges and Preferred Stock Dividends
Excluding deposit interest		(3.30	)x		(.41	)x		2.45	x		3.05	x		3.41	x
Including deposit interest		(.51	)x		.57	x		1.45	x		1.68	x		1.94	x