EX-12 7 dex12.htm STATEMENT RE: COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES Statement re: Computation of Ratios of Earnings to Fixed Charges

Exhibit 12

 

First Midwest Bancorp, Inc.

Ratio of Earnings to Fixed Charges (1)

 

     Years ended December 31,
  
     2003
     2002
     2001
     2000
     1999
  
     (Dollar Amounts in Thousands)  
Ratio 1—Including Interest on Deposits                                         

Earnings available for fixed charges:

                                         

Income from continuing operations

    $ 92,778     $ 90,150     $ 82,138     $ 75,540     $ 70,909  

Add:

                                         

Income tax provision

      30,889       32,133       26,668       23,759       24,520  

Fixed charges

      81,964       111,498       181,439       232,597       169,313  
    
 
 
 
 

Total earnings available for fixed charges

    $ 205,631     $ 233,781     $ 290,245     $ 331,896     $ 264,742  
    
 
 
 
 

Fixed charges (2)

                                         

Interest on deposits

    $ 56,272     $ 81,616     $ 134,497     $ 155,887     $ 129,177  

Interest on borrowed funds

      23,962       29,294       46,341       76,019       39,438  

Interest on subordinated debt—trust preferred securities

      1,079       —         —         —         —    

Portion of rental expense representative of interest factor

      651       588       601       691       698  
    
 
 
 
 

Total fixed charges

    $ 81,964     $ 111,498     $ 181,439     $ 232,597     $ 169,313  
    
 
 
 
 

Ratio of earnings to fixed charges

      2.51 x     2.10 x     1.60 x     1.43 x     1.56 x

Ratio 2—Excluding Interest on Deposits

                                         

Earnings available for fixed charges:

                                         

Income from continuing operations

    $ 92,778     $ 90,150     $ 82,138     $ 75,540     $ 70,909  

Add:

                                         

Income tax provision

      30,889       32,133       26,668       23,759       24,520  

Fixed charges

      25,692       29,882       46,942       76,710       40,136  
    
 
 
 
 

Total earnings available for fixed charges

    $ 149,359     $ 152,165     $ 155,748     $ 176,009     $ 135,565  
    
 
 
 
 

Fixed charges (2):

                                         

Interest on borrowed funds

    $ 23,962     $ 29,294     $ 46,341     $ 76,019     $ 39,438  

Interest on subordinated debt—trust preferred securities

      1,079       —         —         —         —    

Portion of rental expense representative of interest factor

      651       588       601       691       698  
    
 
 
 
 

Total fixed charges

    $ 25,692     $ 29,882     $ 46,942     $ 76,710     $ 40,136  
    
 
 
 
 

Ratio of earnings to fixed charges

      5.81 x     5.09 x     3.32 x     2.29 x     3.38 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.