EXHIBIT 12.1 POPULAR, INC. COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDENDS (Dollars in thousands) Nine month Year Ended December 31, period ended ------------------------------------------------------------------------ September 30, 2002 2001 2000 1999 1998 1997 ------------------ ---------- ---------- ---------- ---------- -------- Income before income taxes $ 357,741 $ 409,114 $ 375,748 $ 340,224 $ 306,691 $ 284,026 Fixed charges: Interest expense 632,880 1,018,877 1,167,396 897,932 778,692 707,348 Estimated interest component of net rental payments 10,632 14,176 13,110 10,970 8,817 7,779 Total fixed charges including interest on deposits 643,512 1,033,053 1,180,506 908,902 787,509 715,127 Less: Interest on deposits 329,349 518,168 529,373 452,215 411,492 366,528 Total fixed charges excluding interest on deposits 314,163 514,885 651,133 456,687 376,017 348,599 Income before income taxes and fixed charges (including interest on deposits) $1,001,253 $1,442,167 $1,556,254 $1,249,126 $1,094,200 $999,153 Income before income taxes and fixed charges (excluding interest on deposits) $ 671,904 $ 923,999 $1,026,881 $ 796,911 $ 682,708 $632,625 Preferred stock dividends 2,510 8,350 8,350 8,350 8,350 8,350 Ratio of earnings to fixed charges Including Interest on Deposits 1.6 1.4 1.3 1.4 1.4 1.4 Excluding Interest on Deposits 2.1 1.8 1.6 1.7 1.8 1.8 Ratio of earnings to fixed charges & Preferred Stock Dividends Including Interest on Deposits 1.5 1.4 1.3 1.4 1.4 1.4 Excluding Interest on Deposits 2.1 1.8 1.6 1.7 1.8 1.8