EX-12.1 2 slm20180930ex121.htm EXHIBIT 12.1 Exhibit



Exhibit 12.1
SLM CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Dollars in thousands)
 
 
 
 
 
Nine Months Ended September 30,
 
 
2013
 
2014
 
2015
 
2016
 
2017
 
2017
 
2018
Income before income tax expense
 
$
416,527

 
$
333,752

 
$
439,064

 
$
414,436

 
$
491,465

 
$
378,272

 
$
367,368

Add: Fixed charges
 
91,182

 
98,404

 
132,048

 
189,717

 
312,396

 
220,979

 
370,592

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total earnings
 
$
507,709

 
$
432,156

 
$
571,112

 
$
604,153

 
$
803,861

 
$
599,251

 
$
737,960

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest expense
 
$
89,085

 
$
95,815

 
$
128,619

 
$
185,908

 
$
308,082

 
$
217,777

 
$
366,942

Rental expense, net of income
 
2,097

 
2,589

 
3,429

 
3,809

 
4,314

 
3,202

 
3,650

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total fixed charges
 
91,182

 
98,404

 
132,048

 
189,717

 
312,396

 
220,979

 
370,592

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Preferred stock dividends
 

 
12,933

 
19,595

 
21,204

 
15,714

 
12,577

 
11,441

Total fixed charges and preferred stock dividends
 
$
91,182

 
$
111,337

 
$
151,643

 
$
210,921

 
$
328,110

 
$
233,556

 
$
382,033

Ratio of earnings to fixed charges(1)
 
5.57

 
4.39

 
4.33

 
3.18

 
2.57

 
2.71

 
1.99

 
 
 

 
 

 
 

 
 

 
 
 
 
 
 
Ratio of earnings to fixed charges and preferred stock dividends(1)
 
5.57

 
3.88

 
3.77

 
2.86

 
2.45

 
2.57

 
1.93

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
(1)
For purposes of computing these ratios, earnings represent income before income tax expense plus fixed charges. Fixed charges represent interest expensed and capitalized plus one-third (the proportion deemed representative of the interest factor) of rents, net of income from subleases.