EX-12 3 fmbi12312016ex12.htm EX-12 Exhibit


 
 
 
 
 
 
 
 
 
 
Exhibit 12
First Midwest Bancorp, Inc.
Ratio of Earnings to Fixed Charges (1)
(Dollar amounts in thousands)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Years Ended December 31,
 
 
 
2016
 
2015
 
2014
 
2013
 
2012
 
Ratio 1 - Including Interest on Deposits
 
 
 
 
 
 
 
 
 
 
 
Earnings available for fixed charges:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss) from continuing operations
 
$
92,349

 
$
82,064

 
$
69,306

 
$
79,306

 
$
(21,054
)
 
Add:
 
 
 
 
 
 
 
 
 
 
 
Income tax expense (benefit)
 
46,171

 
37,747

 
31,170

 
48,715

 
(28,882
)
 
Fixed charges
 
31,497

 
26,275

 
24,405

 
28,134

 
36,011

 
Total earnings available for fixed charges
 
170,017

 
146,086

 
124,881

 
156,155

 
(13,925
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges (2):
 
 
 
 
 
 
 
 
 
 
 
Interest on deposits
 
$
9,863

 
$
9,527

 
$
10,377

 
$
11,901

 
$
18,052

 
Interest on borrowed funds
 
6,313

 
2,314

 
573

 
1,607

 
2,009

 
Interest on senior and subordinated debt
 
12,465

 
12,545

 
12,062

 
13,607

 
14,840

 
Total interest expense
 
28,641

 
24,386

 
23,012

 
27,115

 
34,901

 
Portion of rental expense representative
  of interest factor
 
2,856

 
1,889

 
1,393

 
1,019

 
1,110

 
Total fixed charges
 
31,497

 
26,275

 
24,405

 
28,134

 
36,011

 
Preference security dividend (3)
 
—

 
—

 
—

 
—

 
—

 
Total fixed charges and preferred stock dividends
 
$
31,497

 
$
26,275

 
$
24,405

 
$
28,134

 
$
36,011

 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
5.40

x
5.56

x
5.12

x
5.55

x
(0.39
)
x
Ratio of earnings to combined fixed charges and
  preferred stock dividends
 
5.40

x
5.56

x
5.12

x
5.55

x
(0.39
)
x
 
 
 
 
 
 
 
 
 
 
 
 
Ratio 2 - Excluding Interest on Deposits
 
 
 
 
 
 
 
 
 
 
 
Earnings available for fixed charges:
 
 
 
 
 
 
 
 
 
 
 
Net income (loss) from continuing operations
 
$
92,349

 
$
82,064

 
$
69,306

 
$
79,306

 
$
(21,054
)
 
Add:
 
 
 
 
 
 
 
 
 
 
 
Income tax expense (benefit)
 
46,171

 
37,747

 
31,170

 
48,715

 
(28,882
)
 
Fixed charges
 
21,634

 
16,748

 
14,028

 
16,233

 
17,959

 
Total earnings available for fixed charges
 
160,154

 
136,559

 
114,504

 
144,254

 
(31,977
)
 
 
 
 
 
 
 
 
 
 
 
 
 
Fixed charges (2):
 
 
 
 
 
 
 
 
 
 
 
Interest on borrowed funds
 
$
6,313

 
2,314

 
573

 
1,607

 
2,009

 
Interest on senior and subordinated debt
 
12,465

 
12,545

 
12,062

 
13,607

 
14,840

 
Portion of rental expense representative
  of interest factor
 
2,856

 
1,889

 
1,393

 
1,019

 
1,110

 
Total fixed charges
 
21,634

 
16,748

 
14,028

 
16,233

 
17,959

 
Preference security dividend (3)
 
—

 
—

 
—

 
—

 
—

 
Total fixed charges and preferred stock dividends
 
$
21,634

 
$
16,748

 
$
14,028

 
$
16,233

 
$
17,959

 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges
 
7.40

x
8.15

x
8.16

x
8.89

x
(1.78
)
x
Ratio of earnings to combined fixed charges and
  preferred stock dividends
 
7.40

x
8.15

x
8.16

x
8.89

x
(1.78
)
x

(1)  
The ratio of earnings to fixed charges represents the number of times "fixed charges" are covered by "earnings."
(2)  
"Fixed charges" consist of interest on outstanding debt plus one-third (the proportion deemed representative of the interest factor) of operating lease expense.
(3)  
This is computed as the amount of the preferred dividend divided by (1 minus the effective income tax rate applicable to continuing operations).