EX-12.1 3 d581804dex121.htm EX-12.1 EX-12.1

Exhibit 12.1

POPULAR, INC.

COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

(Dollars in thousands)

 

    Quarters ended     Years ended December 31,  
    March 31,     March 31,                                
    2018     2017     2017     2016     2015     2014     2013  

Income (loss) from continuing operations before income taxes and cumulative effect of accounting changes (1)

  $ 106,157     $ 116,285     $ 319,954     $ 280,009     $ 388,604     ($ 156,892   $ 279,796  

Fixed charges :

             

Interest expense and capitalized interest

    59,983       53,849       223,789       212,327       193,840       688,280       315,685  

Estimated interest component of net rental payments

    2,201       2,470       9,514       10,009       11,391       11,665       9,874  

Total fixed charges including interest on deposits

    62,184       56,319       233,303       222,336       205,231       699,945       325,559  

Less: Interest on deposits

    38,688       33,757       141,864       127,577       107,533       105,087       137,364  

Total fixed charges excluding interest on deposits

    23,496       22,562       91,439       94,759       97,698       594,858       188,195  

Income before income taxes and fixed charges (including interest on deposits)

  $ 168,341     $ 172,604     $ 553,257     $ 502,345     $ 593,835     $ 543,053     $ 605,355  

Income before income taxes and fixed charges (excluding interest on deposits)

  $ 129,653     $ 138,847     $ 411,393     $ 374,768     $ 486,302     $ 437,966     $ 467,991  

Ratio of earnings to fixed charges

             

Including interest on deposits

    2.7       3.1       2.4       2.3       2.9       (A     1.9  

Excluding interest on deposits

    5.5       6.2       4.5       4.0       5.0       (A     2.5  

Ratio of earnings to fixed charges and preferred stock dividends

             

Including interest on deposits

    2.7       3.0       2.4       2.2       2.8       (A     1.8  

Excluding interest on deposits

    5.3       6.0       4.4       3.8       4.8       (A     2.4  

 

 

(1) The computation of earnings to fixed charges and preferred stock dividends excludes the results of discontinued operations.
(A) During 2014, earnings were not sufficient to cover fixed charges or preferred stock dividends and the ratios were less than 1:1. The Corporation would have had to generate additional earnings of approximately $161 million to achieve ratios of 1:1 in the corresponding period of 2014.