EX-12.1 6 exb121-12312011.htm COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES EXB 12.1 - 12.31.2011



EXHIBIT 12.1


MASTERCARD INCORPORATED
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 
Year Ended December 31,
 
2011
 
2010
 
2009
 
2008
 
2007
 
(in millions, except ratios)
Pre-tax income (loss) before adjustment for non-controlling interests
$
2,746

 
$
2,757

 
$
2,218

 
$
(383
)
 
$
1,671

Loss (income) attributable to non-controlling interests and equity investments
18

 
1

 
3

 
2

 
1

Add: Fixed charges
29

 
56

 
120

 
109

 
62

Earnings (loss)
$
2,793

 
$
2,814

 
$
2,341

 
$
(272
)
 
$
1,734

Fixed charges:
 
 
 
 
 
 
 
 
 
Interest expense
$
25

 
$
52

 
$
115

 
$
104

 
$
57

Portion of rental expense under operating leases deemed to be the equivalent of interest 1
4

 
4

 
5

 
5

 
5

Total fixed charges
$
29

 
$
56

 
$
120

 
$
109

 
$
62

Ratio of earnings to fixed charges
96.3

 
50.3

 
19.5

 
- 2

 
28.0

    
1 Portion of rental expense under operating leases deemed to be the equivalent of interest at an appropriate interest factor.

2 The ratio coverage was less than 1:1. MasterCard would have needed to generate additional earnings of $381 million to achieve a coverage of 1:1 in 2008.