EX-12 5 a2207255zex-12.htm EX-12

Exhibit 12

 

Computation in Support of Ratio of Earnings to Fixed Charges

Ameriprise Financial, Inc.

 

 

 

Years Ended December 31,

 

 

 

2011

 

2010

 

2009

 

2008

 

2007

 

 

 

(dollars in millions)

 

Earnings:

 

 

 

 

 

 

 

 

 

 

 

Pretax income (loss) attributable to Ameriprise Financial, Inc.

 

$

1,491

 

$

1,455

 

$

904

 

$

(379

)

$

1,023

 

Interest and debt expense(1)

 

320

 

300

 

137

 

114

 

133

 

Interest portion of rental expense(2)

 

32

 

34

 

38

 

28

 

31

 

Amortization of capitalized interest

 

4

 

4

 

3

 

3

 

1

 

Undistributed loss from equity investees

 

41

 

15

 

25

 

26

 

1

 

Minority interest in pretax losses

 

(129

)

—

 

—

 

(54

)

(8

)

Minority interest in pretax income of subsidiaries that have incurred fixed charges

 

23

 

163

 

15

 

—

 

—

 

Total earnings (losses) before banking and deposit interest expense and interest credited to fixed accounts(a)

 

1,782

 

1,971

 

1,122

 

(262

)

1,181

 

Banking and deposit interest expense and interest credited to fixed accounts

 

904

 

986

 

1,069

 

977

 

1,104

 

Total earnings(c)

 

$

2,686

 

$

2,957

 

$

2,191

 

$

715

 

$

2,285

 

 

 

 

 

 

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

 

 

 

 

Interest and debt expense(1)

 

$

320

 

$

300

 

$

137

 

$

114

 

$

133

 

Estimated amount of interest in rental expense(2)

 

32

 

34

 

38

 

28

 

31

 

Capitalized interest

 

5

 

3

 

3

 

8

 

5

 

Total fixed charges before banking and deposit interest and interest credited to fixed accounts(b)

 

357

 

337

 

178

 

150

 

169

 

Banking and deposit interest expense and interest credited to fixed accounts

 

904

 

986

 

1,069

 

977

 

1,104

 

Total fixed charges(d)

 

$

1,261

 

$

1,323

 

$

1,247

 

$

1,127

 

$

1,273

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges before banking and deposit interest expense and interest credited to fixed accounts(a/b)

 

5.0

 

5.8

 

6.3

 

NM

(3)

7.0

 

 

 

 

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges(c/d)

 

2.1

 

2.2

 

1.8

 

NM

(3)

1.8

 

 

NM: Not Meaningful.

(1)

Interest on non-recourse debt of consolidated investment entities is included in interest and debt expense provided in the table above.

(2)

The estimated amount of interest in rental expense represents one-third of rental expense relating to operating leases.

(3)

Earnings were insufficient to cover fixed charges for the year ended December 31, 2008 by $412 million primarily due to negative market impacts on Results of Operations, including $762 million in pretax impairments on Available-for-Sale securities.