EX-12.2 7 exhibit12-2.htm EXHIBIT 12.2 Exhibit
EXHIBIT 12.2


CITIZENS FINANCIAL GROUP, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED DIVIDENDS

 
Year Ended December 31,
(dollars in millions)
2016

 
2015

 
2014

 
2013(2)

 
2012

Computation of Earnings:
 
 
 
 
 
 
 
 
 
Income (loss) from continuing operations before income tax expense

$1,534

 

$1,263

 

$1,268

 

($3,468
)
 

$1,024

Fixed charges
573

 
510

 
417

 
499

 
669

Total Adjusted Earnings

$2,107

 

$1,773

 

$1,685

 

($2,969
)
 

$1,693

 
 
 
 
 
 
 
 
 
 
Computation of Fixed Charges and Preferred Dividends:
 
 
 
 
 
 
 
 
 
Interest expense

$508

 

$452

 

$363

 

$443

 

$619

Portion of net rental expense deemed representative of interest(1)
51

 
51

 
54

 
56

 
50

Preferred distribution
14

 
7

 
—

 
—

 
—

Total Fixed Charges and Preferred Dividends

$573

 

$510

 

$417

 

$499

 

$669

 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges and Preferred Dividends
3.7
%
 
3.5
%
 
4.0
%
 
(5.9
)%
 
2.5
%

(1) The portion of rents shown as representative of the interest factor is one-quarter of total net operating lease expenses.
(2) The deficiency for this period was $3,468 million due in part to a goodwill impairment charge of $4,435 million ($4,080 million after tax).