EX-12 2 pbi20131231ex12.htm EXHIBIT PBI 2013.12.31 Ex 12


Exhibit 12


PITNEY BOWES INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
(Dollars in thousands)
 
Years Ended December 31,
 
2013
 
2012
 
2011
 
2010
 
2009
 
 
 
 
 
 
 
 
 
 
Income from continuing operations before income taxes
$
403,177

 
$
534,312

 
$
491,486

 
$
458,992

 
$
555,658

Add:
 
 
 
 
 
 
 
 
 
Interest expense (1)
195,836

 
196,368

 
203,061

 
203,911

 
208,855

Portion of rents representative of the interest factor
22,259

 
22,564

 
25,893

 
25,270

 
27,064

Amortization of capitalized interest

 
973

 
1,535

 
1,716

 
1,716

Income as adjusted
$
621,272

 
$
754,217

 
$
721,975

 
$
689,889

 
$
793,293

 
 
 
 
 
 
 
 
 
 
Fixed charges:
 
 
 
 
 
 
 
 
 
Interest expense (1)
$
195,836

 
$
196,368

 
$
203,061

 
$
203,911

 
$
208,855

Portion of rents representative of the interest factor
22,259

 
22,564

 
25,893

 
25,270

 
27,064

Noncontrolling interests (preferred stock dividends of subsidiaries), excluding taxes
27,841

 
27,841

 
27,507

 
29,790

 
32,851

Total fixed charges
$
245,936

 
$
246,773

 
$
256,461

 
$
258,971

 
$
268,770

 
 
 
 
 
 
 
 
 
 
Ratio of earnings to fixed charges (2)
2.53
 
3.06
 
2.82
 
2.66
 
2.95
(1)
Interest expense includes both financing interest expense and other interest expense.

(2)
The computation of the ratio of earnings to fixed charges has been computed by dividing income from continuing operations before income taxes as adjusted by fixed charges. Included in fixed charges is one-third of rent expense as the representative portion of interest.