EX-12 2 c61440_ex12.htm

Exhibit (12)

PITNEY BOWES INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES (1)

 

 

 

 

 

 

 

 

(Dollars in thousands)

 

Three Months Ended March 31,

 

 

 

  

 

 

 

2010

 

2009

 

 

 

  

 

  

 

 

 

 

 

 

 

Income from continuing operations before income taxes

 

$

160,008

 

$

178,449

 

 

 

 

 

 

 

 

 

Add:

 

 

 

 

 

 

 

Interest expense (2)

 

 

49,596

 

 

52,203

 

Portion of rents representative of the interest factor

 

 

10,137

 

 

9,833

 

Amortization of capitalized interest

 

 

429

 

 

429

 

 

 

    

 

    

 

Income as adjusted

 

$

220,170

 

$

240,914

 

 

 

    

 

    

 

 

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

 

 

Interest expense (2)

 

$

49,596

 

$

52,203

 

Portion of rents representative of the interest factor

 

 

10,137

 

 

9,833

 

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

 

 

8,473

 

 

7,589

 

 

 

    

 

    

 

Total fixed charges

 

$

68,206

 

$

69,625

 

 

 

    

 

    

 

 

 

 

 

 

 

 

 

Ratio of earnings to fixed charges

 

 

3.23

 

 

3.46

 

 

 

    

 

    

 

 

 

(1)

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 rental expense as the representative portion of interest.

(2)

Interest expense includes both financing interest expense and other interest expense.

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