EX-12 2 hbio93017ex12.htm EXHIBIT 12 Exhibit


EXHIBIT 12

HSBC FINANCE CORPORATION
COMPUTATION OF RATIO OF EARNINGS (LOSS) TO FIXED CHARGES


 
Nine Months Ended September 30,
2017
 
2016
 
(dollars are in millions)
Income (loss) from continuing operations
$
301

 
$
(606
)
Income tax expense (benefit)
174

 
(322
)
Income (loss) from continuing operations before income tax
475

 
(928
)
Fixed charges:
 
 
 
Interest expense
216

 
414

Interest portion of rentals(1)
2

 
3

Total fixed charges
218

 
417

Total earnings (loss) from continuing operations as defined
$
693

 
$
(511
)
 
 
 
 
Ratio of earnings (loss) to fixed charges
3.18

 
(1.23
)
 
(1) 
Represents one-third of rentals, which approximates the portion representing interest.