EX-12 2 d233981dex12.htm RATIOS OF EARNINGS TO FIXED CHARGES Ratios of earnings to fixed charges

EXHIBIT 12

STATE STREET CORPORATION

Ratios of Earnings to Combined Fixed Charges and Preferred Stock Dividends

 

(Dollars in millions)       Nine Months
Ended
September 30,
2011		     Years Ended December 31,  
      2010     2009     2008     2007     2006  

EXCLUDING INTEREST ON DEPOSITS:

              

Pre-tax income from continuing operations, as reported

     $ 2,004      $ 2,086      $ 2,525      $ 2,842      $ 1,903      $ 1,771   

Share of pre-tax income of unconsolidated entities

       28        67        43        34        65        43   

Fixed charges

       353        636        607        983        1,248        1,384   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted earnings

   (A)   $ 2,385      $ 2,789      $ 3,175      $ 3,859      $ 3,216      $ 3,198   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Interest on short-term borrowings

     $ 74      $ 257      $ 218      $ 674      $ 959      $ 1,145   

Interest on long-term debt, including amortization of debt issuance costs

       184        235        251        187        189        140   

Portion of long-term leases representative of the interest factor(1)

      95        144        138        122        100        99   

Preferred stock dividends and related adjustments(2)

       17        —        226        34        —        —   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges and preferred stock dividends

   (B)   $ 370      $ 636      $ 833      $ 1,017      $ 1,248      $ 1,384   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consolidated ratios of adjusted earnings to combined fixed charges and preferred stock dividends, excluding interest on deposits

   (A)/(B)     6.45 x        4.39 x        3.81 x        3.79 x        2.58 x        2.31 x   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

INCLUDING INTEREST ON DEPOSITS:

              

Pre-tax income from continuing operations, as reported

     $ 2,004      $ 2,086      $ 2,525      $ 2,842      $ 1,903      $ 1,771   

Share of pre-tax income of unconsolidated entities

       28        67        43        34        65        43   

Fixed charges

       507        849        802        2,309        3,546        3,275   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted earnings

   (C)   $ 2,539      $ 3,002      $ 3,370      $ 5,185      $ 5,514      $ 5,089   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Interest on short-term borrowings and deposits

     $ 228      $ 470      $ 413      $ 2,000      $ 3,257      $ 3,036   

Interest on long-term debt, including amortization of debt issuance costs

       184        235        251        187        189        140   

Portion of long-term leases representative of the interest factor(1)

      95        144        138        122        100        99   

Preferred stock dividends and related adjustments(2)

       17        —        226        34        —        —   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges and preferred stock dividends

   (D)   $ 524      $ 849      $ 1,028      $ 2,343      $ 3,546      $ 3,275   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consolidated ratios of adjusted earnings to combined fixed charges and preferred stock dividends, including interest on deposits

   (C)/(D)     4.85 x        3.54 x        3.28 x        2.21 x        1.55 x        1.55 x   
   

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) 

The interest factor on long-term operating leases represented a reasonable approximation of the appropriate portion of operating lease expense considered to be representative of interest. The interest factor on long-term capital leases represented the amount recorded as interest expense in our consolidated statement of income.

(2) 

Preferred dividends and related adjustments, including accretion, were adjusted to represent pre-tax earnings that would be required to cover dividend and accretion requirements.

STATE STREET CORPORATION

Ratios of Earnings to Fixed Charges

 

(Dollars in millions)        Nine Months
Ended
September 30,
2011		     Years Ended December 31,  
       2010     2009     2008     2007     2006  

EXCLUDING INTEREST ON DEPOSITS:

               

Pre-tax income from continuing operations, as reported

      $ 2,004      $ 2,086      $ 2,525      $ 2,842      $ 1,903      $ 1,771   

Share of pre-tax income of unconsolidated entities

        28        67        43        34        65        43   

Fixed charges

        353        636        607        983        1,248        1,384   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted earnings

    (A)   $ 2,385      $ 2,789      $ 3,175      $ 3,859      $ 3,216      $ 3,198   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Interest on short-term borrowings

      $ 74      $ 257      $ 218      $ 674      $ 959      $ 1,145   

Interest on long-term debt, including amortization of debt issuance costs

        184        235        251        187        189        140   

Portion of long-term leases representative of the interest factor(1)

       95        144        138        122        100        99   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges

    (B)   $ 353      $ 636      $ 607      $ 983      $ 1,248      $ 1,384   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consolidated ratios of adjusted earnings to fixed charges, excluding interest on deposits

    (A)/(B)     6.76 x        4.39x        5.23x        3.93x        2.58x        2.31x   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

INCLUDING INTEREST ON DEPOSITS:

               

Pre-tax income from continuing operations, as reported

      $ 2,004      $ 2,086      $ 2,525      $ 2,842      $ 1,903      $ 1,771   

Share of pre-tax income of unconsolidated entities

        28        67        43        34        65        43   

Fixed charges

        507        849        802        2,309        3,546        3,275   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Adjusted earnings

    (C)   $ 2,539      $ 3,002      $ 3,370      $ 5,185      $ 5,514      $ 5,089   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Interest on short-term borrowings and deposits

      $ 228      $ 470      $ 413      $ 2,000      $ 3,257      $ 3,036   

Interest on long-term debt, including amortization of debt issuance costs

        184        235        251        187        189        140   

Portion of long-term leases representative of the interest factor(1)

       95        144        138        122        100        99   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Fixed charges

    (D)   $ 507      $ 849      $ 802      $ 2,309      $ 3,546      $ 3,275   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

Consolidated ratios of adjusted earnings to fixed charges, including interest on deposits

    (C)/(D)     5.01x        3.54x        4.20x        2.25x        1.55x        1.55x   
    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

  

 

(1) 

The interest factor on long-term operating leases represented a reasonable approximation of the appropriate portion of operating lease expense considered to be representative of interest. The interest factor on long-term capital leases represented the amount recorded as interest expense in our consolidated statement of income.