EX-12.1 2 a3q1710qex121.htm EXHIBIT 12.1 Exhibit


Exhibit 12.1
RATIO OF EARNINGS TO FIXED CHARGES AND
RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
 
 
 
Year Ended December 31,
  
YTD 2017
 
YTD 2016
 
2016
 
2015
 
2014
 
2013
 
2012
 
(Dollars in millions)
Net income (loss) before income tax (expense) benefit and cumulative effect of changes in accounting principles
$
13,012

 
$
4,276

 
$
11,639

 
$
9,274

 
$
11,002

 
$
25,363

 
$
9,445

Add:
 
 
 
 
 
 
 
 
 
 
 
 
 
Total interest expense
39,965

 
38,523

 
50,595

 
51,916

 
54,916

 
55,779

 
66,502

Interest factor in rental expenses
2

 
2

 
3

 
2

 
5

 
4

 
4

Earnings, as adjusted
$
52,979


$
42,801


$
62,237

 
$
61,192

 
$
65,923

 
$
81,146

 
$
75,951

Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
 
 
Total interest expense
$
39,965

 
$
38,523

 
$
50,595

 
$
51,916

 
$
54,916

 
$
55,779

 
$
66,502

Interest factor in rental expenses
2

 
2

 
3

 
2

 
5

 
4

 
4

Total fixed charges
$
39,967


$
38,525


$
50,598

 
$
51,918

 
$
54,921

 
$
55,783

 
$
66,506

Senior preferred stock and preferred stock dividends(1)
13,174

 
3,874

 
7,437

 
5,510

 
19,610

 
47,591

 
7,229

Total fixed charges including preferred stock dividends
$
53,141


$
42,399


$
58,035

 
$
57,428

 
$
74,531

 
$
103,374

 
$
73,735

Ratio of earnings to fixed charges(2)
1.33


1.11


1.23

 
1.18

 
1.20


1.45


1.14

Ratio of earnings to combined fixed charges and preferred stock dividends(3)
—


1.01


1.07

 
1.07

 
—


—


1.03

 
(1)
Senior preferred stock and preferred stock dividends represent pre-tax earnings required to cover any senior preferred stock and preferred stock dividend requirements computed using our effective tax rate, whenever there is an income tax provision, for the relevant periods.
(2)
Ratio of earnings to fixed charges is computed by dividing earnings, as adjusted by total fixed charges.
(3)
Ratio of earnings to combined fixed charges and preferred stock dividends is computed by dividing earnings, as adjusted by total fixed charges including preferred stock dividends. For the ratio to equal 1.00, earnings, as adjusted must increase by $0.2 billion, $8.6 billion and $22.2 billion for YTD 2017 and for the years ended December 31, 2014 and 2013, respectively.