EX-12 2 npbc12312015ex12.htm EXHIBIT 12 Exhibit


NATIONAL PENN BANCSHARES, INC. & SUBSIDIARIES
COMPUTATION OF CONSOLIDATED RATIO OF EARNINGS TO COMBINED FIXED CHARGES
AND PREFERRED STOCK DIVIDENDS
Exhibit 12
(Dollars in thousands)
 
 
 
Year Ended December 31,
(unaudited)
 
 
 
2015
 
2014
 
2013
 
2012
 
2011
Computation of Earnings
 
 
 
 
 
 
 
 
 
Net income
 
$
110,691

 
$
98,706

 
$
53,387

 
$
98,910

 
$
87,544

Add: Provision for income taxes
 
38,879

 
33,509

 
9,581

 
32,754

 
25,172

Less: Income (loss) from equity method investments
 
(255
)
 
(549
)
 
710

 
1,487

 
2,161

Income before income taxes
 
149,825

 
132,764

 
62,258

 
130,177

 
110,555

Fixed charges, excluding interest on deposits
 
18,760

 
15,107

 
16,540

 
38,564

 
48,847

     Total earnings for computation,
 
 
 
 
 
 
 
 
 
 
          excluding interest on deposits
 
168,585

 
147,871

 
78,798

 
168,741

 
159,402

Interest on deposits
 
18,649

 
18,543

 
22,379

 
26,822

 
40,534

     Total earnings for computation,
 
 
 
 
 
 
 
 
 
 
          including interest on deposits
 
$
187,234

 
$
166,414

 
$
101,177

 
$
195,563

 
$
199,936

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Computation of Fixed Charges
 
 
 
 
 
 
 
 
 
Portion of net rental expense deemed
 
 
 
 
 
 
 
 
 
 
     representative of interest (a)
 
$
2,941

 
$
2,745

 
$
2,702

 
$
2,564

 
$
2,450

Interest on short-term borrowed funds
 
1,628

 
1,625

 
1,846

 
2,117

 
2,506

Interest on long-term debt
 
14,191

 
10,737

 
11,992

 
33,883

 
43,891

     Total fixed charges, excluding interest on deposits
 
18,760

 
15,107

 
16,540

 
38,564

 
48,847

Interest on deposits
 
18,649

 
18,543

 
22,379

 
26,822

 
40,534

     Total fixed charges, including interest on deposits
 
$
37,409

 
$
33,650

 
$
38,919

 
$
65,386

 
$
89,381

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Combined Fixed Charges and Preferred Stock Dividends
 
 
 
 
 
 
 
 
 
Preferred stock dividend on a pre-tax basis
 
$
—

 
$
—

 
$
—

 
$
—

 
$
3,246

Total fixed charges, excluding interest on deposits
 
18,760

 
15,107

 
16,540

 
38,564

 
48,847

     Combined fixed charges and preferred stock
 
 
 
 
 
 
 
 
 
 
          dividends, excluding interest on deposits
 
18,760

 
15,107

 
16,540

 
38,564

 
52,093

Interest on deposits
 
18,649

 
18,543

 
22,379

 
26,822

 
40,534

     Combined fixed charges and preferred stock
 
 
 
 
 
 
 
 
 
 
          dividends, including interest on deposits
 
$
37,409

 
$
33,650

 
$
38,919

 
$
65,386

 
$
92,627

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges:
 
 
 
 
 
 
 
 
 
     Excluding interest on deposits
 
8.99x

 
9.79x

 
4.76x

 
4.38x

 
3.26x

     Including interest on deposits
 
5.01x

 
4.95x

 
2.60x

 
2.99x

 
2.24x

 
 
 
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges
 
 
 
 
 
 
 
 
 
     and Preferred Stock Dividends:
 
 
 
 
 
 
 
 
 
 
     Excluding interest on deposits
 
8.99x

 
9.79x

 
4.76x

 
4.38x

 
3.06x

     Including interest on deposits
 
5.01x

 
4.95x

 
2.60x

 
2.99x

 
2.16x

 
 
 
 
 
 
 
 
 
 
 
 
 
 
(a) The portion of rents shown as representative of the interest factor is one-third of total net operating rent expense.