. . . POPULAR, INC. COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDENDS EXHIBIT 12.1 (Dollars in thousands) Year Ended December 31, -------------------------------------------------------------- 2002 2001 2000 1999 1998 ---------- ---------- ---------- ---------- ---------- Income before income taxes $ 469,436 $ 409,114 $ 375,748 $ 340,224 $ 306,691 Fixed charges: Interest expense 843,467 1,018,877 1,167,396 897,932 778,692 Estimated interest component of net rental payments 15,123 14,176 13,110 10,970 8,817 Total fixed charges including interest on deposits 858,590 1,033,053 1,180,506 908,902 787,509 Less: Interest on deposits 431,128 518,168 529,373 452,215 411,492 Total fixed charges excluding interest on deposits 427,462 514,885 651,133 456,687 376,017 Income before income taxes and fixed charges (including interest on deposits) $1,328,026 $1,442,167 $1,556,254 $1,249,126 $1,094,200 Income before income taxes and fixed charges (excluding interest on deposits) $ 896,898 $ 923,999 $1,026,881 $ 796,911 $ 682,708 Preferred stock dividends 2,510 8,350 8,350 8,350 8,350 Ratio of earnings to fixed charges Including Interest on Deposits 1.5 1.4 1.3 1.4 1.4 Excluding Interest on Deposits 2.1 1.8 1.6 1.7 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 Excluding Interest on Deposits 2.1 1.8 1.6 1.7 1.8