EX-12.1 16 a2129328zex-12_1.htm EXHIBIT 12.1
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EXHIBIT 12.1

WASHINGTON MUTUAL, INC.
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

		Year Ended December 31,
		2003			2002			2001			2000			1999
		(in millions)
Earnings, including interest on deposits(1):
Income from continuing operations before income tax expense		$	6,029		$	6,006		$	4,826		$	2,829		$	2,765
Fixed charges			4,687			5,842			8,071			9,330			7,521

		$	10,716		$	11,848		$	12,897		$	12,159		$	10,286

Fixed charges(1):
	Interest expense	$	4,534		$	5,726		$	7,979		$	9,269		$	7,461
	Estimated interest component of net rental expense		153			116			92			61			60

		$	4,687		$	5,842		$	8,071		$	9,330		$	7,521

Ratio of earnings to fixed charges(2)			2.29			2.03			1.60			1.30			1.37

Earnings, excluding interest on deposits(1):
Income from continuing operations before income tax expense		$	6,029		$	6,006		$	4,826		$	2,829		$	2,765
Fixed charges			2,522			3,181			4,990			6,051			4,362

		$	8,551		$	9,187		$	9,816		$	8,880		$	7,127

Fixed charges(1):
	Interest expense	$	4,534		$	5,726		$	7,979		$	9,269		$	7,461
	Less: interest on deposits		(2,165	)		(2,661	)		(3,081	)		(3,279	)		(3,159	)
	Estimated interest component of net rental expense		153			116			92			61			60

		$	2,522		$	3,181		$	4,990		$	6,051		$	4,362

Ratio of earnings to fixed charges(2)			3.39			2.89			1.97			1.47			1.63

(1): As defined in Item 503(d) of Regulation S-K.
(2): These computations are included herein in compliance with Securities and Exchange Commission Regulations. However, management believes that fixed charge ratios are not meaningful measures for the business of the Company because of two factors. First, even if there were no change in net income, the ratios would decline with an increase in the proportion of income which is tax-exempt or, conversely, they would increase with a decrease in the proportion of income which is tax-exempt. Second, even if there were no change in net income, the ratios would decline if interest income and interest expense increase by the same amount due to an increase in the level of interest rates or, conversely, they would increase if interest income and interest expense decrease by the same amount due to a decrease in the level of interest rates.