Exhibit 12.1
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND
EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
| Nine Months Ended September 30, 2016 | Year Ended December 31, | |||||||||||||||||||||||
| (Dollars in millions) | 2015 | 2014 | 2013 | 2012 | 2011 | |||||||||||||||||||
| Ratios (including interest expense on deposits): | ||||||||||||||||||||||||
| Earnings: | ||||||||||||||||||||||||
| Income from continuing operations before income taxes | $ | 4,349 | $ | 5,881 | $ | 6,569 | $ | 6,578 | $ | 5,184 | $ | 4,688 | ||||||||||||
| Adjustments: | ||||||||||||||||||||||||
| Fixed charges | 1,460 | 1,632 | 1,586 | 1,796 | 2,377 | 2,251 | ||||||||||||||||||
| Equity in undistributed (gain) loss of unconsolidated subsidiaries | (6 | ) | (19 | ) | (1 | ) | (16 | ) | (22 | ) | 4 | |||||||||||||
| Earnings available for fixed charges, as adjusted | $ | 5,803 | $ | 7,494 | $ | 8,154 | $ | 8,358 | $ | 7,539 | $ | 6,943 | ||||||||||||
| Fixed charges: | ||||||||||||||||||||||||
| Interest expense on deposits and borrowings | $ | 1,456 | $ | 1,625 | $ | 1,579 | $ | 1,792 | $ | 2,375 | $ | 2,246 | ||||||||||||
| Interest factor in rent expense | 4 | 7 | 7 | 4 | 2 | 5 | ||||||||||||||||||
| Total fixed charges | 1,460 | 1,632 | 1,586 | 1,796 | 2,377 | 2,251 | ||||||||||||||||||
Preferred stock dividend requirements(1) | 203 | 232 | 100 | 77 | 20 | — | ||||||||||||||||||
| Total combined fixed charges and preferred stock dividends | $ | 1,663 | $ | 1,864 | $ | 1,686 | $ | 1,873 | $ | 2,397 | $ | 2,251 | ||||||||||||
| Ratio of earnings to fixed charges | 3.97 | 4.59 | 5.14 | 4.65 | 3.17 | 3.08 | ||||||||||||||||||
| Ratio of earnings to combined fixed charges and preferred stock dividends | 3.49 | 4.02 | 4.84 | 4.46 | 3.15 | 3.08 | ||||||||||||||||||
| Ratios (excluding interest expense on deposits): | ||||||||||||||||||||||||
| Earnings: | ||||||||||||||||||||||||
| Income from continuing operations before income taxes | $ | 4,349 | $ | 5,881 | $ | 6,569 | $ | 6,578 | $ | 5,184 | $ | 4,688 | ||||||||||||
| Adjustments: | ||||||||||||||||||||||||
| Fixed charges | 579 | 541 | 498 | 555 | 974 | 1,064 | ||||||||||||||||||
| Equity in undistributed (gain) loss of unconsolidated subsidiaries | (6 | ) | (19 | ) | (1 | ) | (16 | ) | (22 | ) | 4 | |||||||||||||
| Earnings available for fixed charges, as adjusted | $ | 4,922 | $ | 6,403 | $ | 7,066 | $ | 7,117 | $ | 6,136 | $ | 5,756 | ||||||||||||
| Fixed charges: | ||||||||||||||||||||||||
Interest expense on borrowings(2) | $ | 575 | $ | 534 | $ | 491 | $ | 551 | $ | 972 | $ | 1,059 | ||||||||||||
| Interest factor in rent expense | 4 | 7 | 7 | 4 | 2 | 5 | ||||||||||||||||||
| Total fixed charges | 579 | 541 | 498 | 555 | 974 | 1,064 | ||||||||||||||||||
Preferred stock dividend requirements(1) | 203 | 232 | 100 | 77 | 20 | — | ||||||||||||||||||
| Total combined fixed charges and preferred stock dividends | $ | 782 | $ | 773 | $ | 598 | $ | 632 | $ | 994 | $ | 1,064 | ||||||||||||
| Ratio of earnings to fixed charges, excluding interest on deposits | 8.50 | 11.84 | 14.19 | 12.82 | 6.30 | 5.41 | ||||||||||||||||||
| Ratio of earnings to combined fixed charges, excluding interest on deposits and preferred stock dividends | 6.29 | 8.28 | 11.82 | 11.26 | 6.17 | 5.41 | ||||||||||||||||||
__________
(1) | Preferred stock dividends represent pre-tax earnings that would be required to cover any preferred stock dividends requirements, computed using our effective tax rate, whenever there is an income tax provision, for the relevant periods. |
(2) | Represents total interest expense reported on our consolidated statements of income, excluding interest on deposits of $881 million for the nine months ended September 30, 2016, and $1.1 billion for the years ended December 31, 2015 and 2014, and $1.2 billion, $1.4 billion and $1.2 billion for the years ended December 31, 2013, 2012 and 2011, respectively. |