EX-12.1 2 navi-ex121_163.htm EX-12.1 navi-ex121_163.htm

 

Exhibit 12.1

NAVIENT CORPORATION

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND PREFERRED STOCK DIVIDENDS

(Dollars in millions)

 

 

 

Years Ended December 31,

 

 

 

2013

 

 

2014

 

 

2015

 

 

2016

 

 

2017

 

Income (loss) from continuing operations before

   income taxes

 

$

2,087

 

 

$

1,818

 

 

$

1,580

 

 

$

1,108

 

 

$

764

 

Add:  Fixed charges

 

 

2,213

 

 

 

2,066

 

 

 

2,077

 

 

 

2,445

 

 

 

2,975

 

Total earnings

 

$

4,300

 

 

$

3,884

 

 

$

3,657

 

 

$

3,553

 

 

$

3,739

 

Interest expense

 

$

2,210

 

 

$

2,063

 

 

$

2,074

 

 

$

2,441

 

 

$

2,971

 

Rental expense, net of income

 

 

3

 

 

 

3

 

 

 

3

 

 

 

4

 

 

 

4

 

Total fixed charges

 

 

2,213

 

 

 

2,066

 

 

 

2,077

 

 

 

2,445

 

 

 

2,975

 

Preferred stock dividends

 

 

31

 

 

 

10

 

 

 

—

 

 

 

—

 

 

 

—

 

Total fixed charges and preferred stock dividends

 

$

2,244

 

 

$

2,076

 

 

$

2,077

 

 

$

2,445

 

 

$

2,975

 

Ratio of earnings to fixed charges(1)

 

 

1.94

 

 

 

1.88

 

 

 

1.76

 

 

 

1.45

 

 

 

1.26

 

Ratio of earnings to fixed charges and preferred

   stock dividends(1)

 

 

1.92

 

 

 

1.87

 

 

 

1.76

 

 

 

1.45

 

 

 

1.26

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(1) For purposes of computing these ratios, earnings represent income (loss) from continuing operations 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.