EX-12.1 3 d435129dex121.htm EX-12.1 EX-12.1

EXHIBIT 12.1

RATIOS OF EARNINGS TO FIXED CHARGES

AND PREFERRED STOCK DIVIDENDS

The consolidated ratios of fixed charges and preferred stock dividends to earnings for each of the five years indicated below and the nine months ended September 30, 2017 and 2016 are as follows:

 

     Nine Months                                     
     Ended September 30,      Year Ended December 31,(1)  
     2017      2016      2016      2015      2014      2013      2012  

Earnings:

                     

Income before income taxes

    $ 34,545      $ 25,501      $ 32,713      $ 27,781      $ 24,256      $ 26,924      $ 27,989  

Plus interest expense

      11,064        12,087        20,537        13,854        13,222        13,503        14,322  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Earnings including interest on deposits

      45,609        37,588        53,250        41,635        37,478        40,427        42,311  

Less interest on deposits

      5,315        4,923        6,616        5,559        5,257        5,672        6,206  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Earnings excluding interest on deposits

    $ 40,294      $ 32,665      $ 46,634      $ 36,076      $ 32,221      $ 34,755      $ 36,105  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Fixed charges and preferred stock dividend requirements (pre-tax):

                     

Including interest on deposits and capitalized interest

    $ 11,064      $ 12,087      $ 20,537      $ 13,854      $ 13,222      $ 13,503      $ 14,322  

Preferred stock dividend requirement (pre-tax):

      —          42        42        125        133        370        481  

Less interest on deposits

      5,315        4,923        6,616        5,559        5,257        5,672        6,206  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Excluding interest on deposits

    $ 5,749      $ 7,206      $ 13,963      $ 8,420      $ 8,098      $ 8,201      $ 8,597  
  

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

     

 

 

  

Ratio of earnings to fixed charges:

                     

Including interest on deposits

      4.12        3.11        2.59        3.01        2.83        2.99        2.95  

Excluding interest on deposits

      7.01        4.56        3.35        4.35        4.05        4.44        4.45  

Ratio of earnings to fixed charges and preferred stock dividend requirements (pre-tax):

                     

Including interest on deposits

      4.12        3.10        2.59        2.98        2.81        2.91        2.86  

Excluding interest on deposits

      7.01        4.53        3.34        4.28        3.98        4.24        4.20  

 

1. No shares of preferred stock were outstanding until December 19, 2008, when Horizon issued to the U.S. Department of the Treasury 25,000 shares of Fixed Rate Cumulative Perpetual Preferred Stock, Series A (the “Series A Preferred Stock”) pursuant to the Treasury’s Capital Purchase Program under the Troubled Asset Relief Program. On November 10, 2010, Horizon redeemed 6,250 shares of Series A Preferred Stock. On August 25, 2011, Horizon redeemed the remaining 18,750 shares of Series A Preferred Stock and also issued to the Treasury 12,500 shares of Senior Non-Cumulative Perpetual Preferred Stock, Series B (the “Series B Preferred Stock”). Effective February 1, 2016, Horizon redeemed all of the Series B Preferred Stock.