EXHIBIT 12
STATE STREET CORPORATION
Ratios of Earnings to Combined Fixed Charges and Preferred Stock Dividends
(Dollars in millions) | Nine Months Ended September 30, 2009 | Years Ended December 31, | ||||||||||||||||||||||||
2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||||||||
EXCLUDING INTEREST ON DEPOSITS: | ||||||||||||||||||||||||||
Pre-tax income from continuing operations, as reported | $ | 1,845 | $ | 2,842 | $ | 1,903 | $ | 1,771 | $ | 1,432 | $ | 1,192 | ||||||||||||||
Share of pre-tax income of unconsolidated entities | 49 | 34 | 65 | 43 | 16 | 39 | ||||||||||||||||||||
Fixed charges | 446 | 983 | 1,248 | 1,384 | 948 | 481 | ||||||||||||||||||||
Adjusted earnings | (A) | $ | 2,340 | $ | 3,859 | $ | 3,216 | $ | 3,198 | $ | 2,396 | $ | 1,712 | |||||||||||||
Interest on short-term borrowings | $ | 162 | $ | 674 | $ | 959 | $ | 1,145 | $ | 753 | $ | 315 | ||||||||||||||
Interest on long-term debt, including amortization of debt issuance costs | 185 | 187 | 189 | 140 | 100 | 68 | ||||||||||||||||||||
Portion of long-term leases representative of the interest factor(1) | 99 | 122 | 100 | 99 | 95 | 98 | ||||||||||||||||||||
Preferred stock dividends and related adjustments(2) | 226 | 34 | — | — | — | — | ||||||||||||||||||||
Fixed charges and preferred stock dividends | (B) | $ | 672 | $ | 1,017 | $ | 1,248 | $ | 1,384 | $ | 948 | $ | 481 | |||||||||||||
Consolidated ratios of adjusted earnings to combined fixed charges and preferred stock dividends, excluding interest on deposits | (A)/(B) | 3.48 | x | 3.79 | x | 2.58 | x | 2.31 | x | 2.53 | x | 3.56 | x | |||||||||||||
INCLUDING INTEREST ON DEPOSITS: | ||||||||||||||||||||||||||
Pre-tax income from continuing operations, as reported | $ | 1,845 | $ | 2,842 | $ | 1,903 | $ | 1,771 | $ | 1,432 | $ | 1,192 | ||||||||||||||
Share of pre-tax income of unconsolidated entities | 49 | 34 | 65 | 43 | 16 | 39 | ||||||||||||||||||||
Fixed charges | 601 | 2,309 | 3,546 | 3,275 | 2,080 | 993 | ||||||||||||||||||||
Adjusted earnings | (C) | $ | 2,495 | $ | 5,185 | $ | 5,514 | $ | 5,089 | $ | 3,528 | $ | 2,224 | |||||||||||||
Interest on short-term borrowings and deposits | $ | 317 | $ | 2,000 | $ | 3,257 | $ | 3,036 | $ | 1,885 | $ | 827 | ||||||||||||||
Interest on long-term debt, including amortization of debt issuance costs | 185 | 187 | 189 | 140 | 100 | 68 | ||||||||||||||||||||
Portion of long-term leases representative of the interest factor(1) | 99 | 122 | 100 | 99 | 95 | 98 | ||||||||||||||||||||
Preferred stock dividends and related adjustments(2) | 226 | 34 | — | — | — | — | ||||||||||||||||||||
Fixed charges and preferred stock dividends | (D) | $ | 827 | $ | 2,343 | $ | 3,546 | $ | 3,275 | $ | 2,080 | $ | 993 | |||||||||||||
Consolidated ratios of adjusted earnings to combined fixed charges and preferred stock dividends, including interest on deposits | (C)/(D) | 3.02 | x | 2.21 | x | 1.55 | x | 1.55 | x | 1.70 | x | 2.24 | x | |||||||||||||
(1) | The interest factor on long-term operating leases represented a reasonable approximation of the appropriate portion of operating lease expense considered to be representative of interest. The interest factor on long-term capital leases represented the amount recorded as interest expense in the consolidated statement of income. |
(2) | Preferred dividends, including accretion, were adjusted to represent pre-tax earnings that would be required to cover dividend and accretion requirements. |
STATE STREET CORPORATION
Ratios of Earnings to Fixed Charges
(Dollars in millions) | Nine Months Ended September 30, 2009 | Years Ended December 31, | ||||||||||||||||||||||||
2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||||||||||||
EXCLUDING INTEREST ON DEPOSITS: | ||||||||||||||||||||||||||
Pre-tax income from continuing operations, as reported | $ | 1,845 | $ | 2,842 | $ | 1,903 | $ | 1,771 | $ | 1,432 | $ | 1,192 | ||||||||||||||
Share of pre-tax income of unconsolidated entities | 49 | 34 | 65 | 43 | 16 | 39 | ||||||||||||||||||||
Fixed charges | 446 | 983 | 1,248 | 1,384 | 948 | 481 | ||||||||||||||||||||
Adjusted earnings | (A) | $ | 2,340 | $ | 3,859 | $ | 3,216 | $ | 3,198 | $ | 2,396 | $ | 1,712 | |||||||||||||
Interest on short-term borrowings | $ | 162 | $ | 674 | $ | 959 | $ | 1,145 | $ | 753 | $ | 315 | ||||||||||||||
Interest on long-term debt, including amortization of debt issuance costs | 185 | 187 | 189 | 140 | 100 | 68 | ||||||||||||||||||||
Portion of long-term leases representative of the interest factor(1) | 99 | 122 | 100 | 99 | 95 | 98 | ||||||||||||||||||||
Fixed charges | (B) | $ | 446 | $ | 983 | $ | 1,248 | $ | 1,384 | $ | 948 | $ | 481 | |||||||||||||
Consolidated ratios of adjusted earnings to fixed charges, excluding interest on deposits | (A)/(B) | 5.25 | x | 3.93 | x | 2.58 | x | 2.31 | x | 2.53 | x | 3.56 | x | |||||||||||||
INCLUDING INTEREST ON DEPOSITS: | ||||||||||||||||||||||||||
Pre-tax income from continuing operations, as reported | $ | 1,845 | $ | 2,842 | $ | 1,903 | $ | 1,771 | $ | 1,432 | $ | 1,192 | ||||||||||||||
Share of pre-tax income of unconsolidated entities | 49 | 34 | 65 | 43 | 16 | 39 | ||||||||||||||||||||
Fixed charges | 601 | 2,309 | 3,546 | 3,275 | 2,080 | 993 | ||||||||||||||||||||
Adjusted earnings | (C) | $ | 2,495 | $ | 5,185 | $ | 5,514 | $ | 5,089 | $ | 3,528 | $ | 2,224 | |||||||||||||
Interest on short-term borrowings and deposits | $ | 317 | $ | 2,000 | $ | 3,257 | $ | 3,036 | $ | 1,885 | $ | 827 | ||||||||||||||
Interest on long-term debt, including amortization of debt issuance costs | 185 | 187 | 189 | 140 | 100 | 68 | ||||||||||||||||||||
Portion of long-term leases representative of the interest factor(1) | 99 | 122 | 100 | 99 | 95 | 98 | ||||||||||||||||||||
Fixed charges | (D) | $ | 601 | $ | 2,309 | $ | 3,546 | $ | 3,275 | $ | 2,080 | $ | 993 | |||||||||||||
Consolidated ratios of adjusted earnings to fixed charges, including interest on deposits | (C)/(D) | 4.15 | x | 2.25 | x | 1.55 | x | 1.55 | x | 1.70 | x | 2.24 | x | |||||||||||||
(1) | The interest factor on long-term operating leases represented a reasonable approximation of the appropriate portion of operating lease expense considered to be representative of interest. The interest factor on long-term capital leases represented the amount recorded as interest expense in the consolidated statement of income. |