EXHIBIT 12.1
First BanCorp
Computation of Ratio of Earnings to Fixed Charges
Computation of Ratio of Earnings to Fixed Charges
For the years ended December 31, | ||||||||||||||||||||
2010 | 2009 | 2008 | 2007 | 2006 | ||||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
Including Interest on Deposits | ||||||||||||||||||||
Earnings: | ||||||||||||||||||||
Pre-tax (loss) income from continuing operations | $ | (421,167 | ) | $ | (270,653 | ) | $ | 78,205 | $ | 89,719 | $ | 112,076 | ||||||||
Plus: | ||||||||||||||||||||
Fixed Charges (excluding capitalized interest) | 376,149 | 481,431 | 616,102 | 739,537 | 790,247 | |||||||||||||||
Total Earnings | $ | (45,018 | ) | $ | 210,778 | $ | 694,307 | $ | 829,256 | $ | 902,323 | |||||||||
Fixed Charges: | ||||||||||||||||||||
Interest expensed and capitalized | $ | 372,535 | $ | 477,397 | $ | 612,086 | $ | 735,583 | $ | 786,670 | ||||||||||
Amortized premiums, discounts, and capitalized expenses related to indebtedness | 44 | 90 | 144 | 221 | 180 | |||||||||||||||
An estimate of the interest component within rental expense | 3,570 | 3,944 | 3,872 | 3,733 | 3,397 | |||||||||||||||
Total Fixed Charges | $ | 376,149 | $ | 481,431 | $ | 616,102 | $ | 739,537 | $ | 790,247 | ||||||||||
Ratio of Earnings to Fixed Charges | (A | ) | (A | ) | 1.13 | 1.12 | 1.14 | |||||||||||||
Excluding Interest on Deposits | ||||||||||||||||||||
Earnings: | ||||||||||||||||||||
Pre-tax (loss) income from continuing operations | $ | (421,167 | ) | $ | (270,653 | ) | $ | 78,205 | $ | 89,719 | $ | 112,076 | ||||||||
Plus: | ||||||||||||||||||||
Fixed Charges (excluding capitalized interest) | 127,435 | 163,569 | 192,607 | 215,087 | 240,170 | |||||||||||||||
Total (Loss) Earnings | $ | (293,732 | ) | $ | (107,084 | ) | $ | 270,812 | $ | 304,806 | $ | 352,246 | ||||||||
Fixed Charges: | ||||||||||||||||||||
Interest expensed and capitalized | $ | 123,821 | $ | 159,535 | $ | 188,591 | $ | 211,133 | $ | 236,593 | ||||||||||
Amortized premiums, discounts, and capitalized expenses related to indebtedness | 44 | 90 | 144 | 221 | 180 | |||||||||||||||
An estimate of the interest component within rental expense | 3,570 | 3,944 | 3,872 | 3,733 | 3,397 | |||||||||||||||
Total Fixed Charges | $ | 127,435 | $ | 163,569 | $ | 192,607 | $ | 215,087 | $ | 240,170 | ||||||||||
Ratio of Earnings to Fixed Charges | (A | ) | (A | ) | 1.41 | 1.42 | 1.47 |
(A) | For the years ended December 31, 2010 and 2009 the ratio coverage was less than 1:1. The Corporation would have to generate additional earnings of $421.2 million and $270.7 million to achieve a ratio of 1:1 for the years ended December 31, 2010 and 2009, respectively. |