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.