STATE STREET CORP - FORM 10-Q - EX-12 - RATIOS OF EARNINGS TO FIXED CHARGES - November 6, 2009

Attached files

file filename
10-Q - FORM 10-Q - STATE STREET CORPd10q.htm
EX-15 - LETTER REGARDING UNAUDITED INTERIM FINANCIAL INFORMATION - STATE STREET CORPdex15.htm
EX-32 - SECTION 1350 CERTIFICATIONS - STATE STREET CORPdex32.htm
EX-31.1 - CERTIFICATION OF CHAIRMAN AND CHIEF EXECUTIVE OFFICER - STATE STREET CORPdex311.htm
EX-31.2 - CERTIFICATION OF CHIEF FINANCIAL OFFICER - STATE STREET CORPdex312.htm

EXHIBIT 12

STATE STREET CORPORATION

Ratios of Earnings to Combined Fixed Charges and Preferred Stock Dividends

 

(Dollars in millions)        Nine Months
Ended
September 30,
2009		     Years Ended December 31,  
       2008     2007     2006     2005     2004  

EXCLUDING INTEREST ON DEPOSITS:

               

Pre-tax income from continuing operations, as reported

      $ 1,845      $ 2,842      $ 1,903      $ 1,771      $ 1,432      $ 1,192   

Share of pre-tax income of unconsolidated entities

        49        34        65        43        16        39   

Fixed charges

        446        983        1,248        1,384        948        481   
                                                  

Adjusted earnings

   (A)    $ 2,340      $ 3,859      $ 3,216      $ 3,198      $ 2,396      $ 1,712   
                                                  

Interest on short-term borrowings

      $ 162      $ 674      $ 959      $ 1,145      $ 753      $ 315   

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

        185        187        189        140        100        68   

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

        99        122        100        99        95        98   

Preferred stock dividends and related adjustments(2)

        226        34        —        —        —        —   
                                                  

Fixed charges and preferred stock dividends

   (B)    $ 672      $ 1,017      $ 1,248      $ 1,384      $ 948      $ 481   
                                                  

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

  (A)/(B)      3.48 x      3.79 x      2.58 x      2.31 x      2.53 x      3.56 x 
                                                  

INCLUDING INTEREST ON DEPOSITS:

               

Pre-tax income from continuing operations, as reported

      $ 1,845      $ 2,842      $ 1,903      $ 1,771      $ 1,432      $ 1,192   

Share of pre-tax income of unconsolidated entities

        49        34        65        43        16        39   

Fixed charges

        601        2,309        3,546        3,275        2,080        993   
                                                  

Adjusted earnings

   (C)    $ 2,495      $ 5,185      $ 5,514      $ 5,089      $ 3,528      $ 2,224   
                                                  

Interest on short-term borrowings and deposits

      $ 317      $ 2,000      $ 3,257      $ 3,036      $ 1,885      $ 827   

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

        185        187        189        140        100        68   

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

        99        122        100        99        95        98   

Preferred stock dividends and related adjustments(2)

        226        34        —        —        —        —   
                                                  

Fixed charges and preferred stock dividends

   (D)    $ 827      $ 2,343      $ 3,546      $ 3,275      $ 2,080      $ 993   
                                                  

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

  (C)/(D)      3.02 x      2.21 x      1.55 x      1.55 x      1.70 x      2.24 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 the consolidated statement of income.

(2)

Preferred dividends, 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,
2009		     Years Ended December 31,  
      2008     2007     2006     2005     2004  

EXCLUDING INTEREST ON DEPOSITS:

              

Pre-tax income from continuing operations, as reported

     $ 1,845      $ 2,842      $ 1,903      $ 1,771      $ 1,432      $ 1,192   

Share of pre-tax income of unconsolidated entities

       49        34        65        43        16        39   

Fixed charges

       446        983        1,248        1,384        948        481   
                                                 

Adjusted earnings

   (A)   $ 2,340      $ 3,859      $ 3,216      $ 3,198      $ 2,396      $ 1,712   
                                                 

Interest on short-term borrowings

     $ 162      $ 674      $ 959      $ 1,145      $ 753      $ 315   

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

       185        187        189        140        100        68   

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

       99        122        100        99        95        98   
                                                 

Fixed charges

   (B)   $ 446      $ 983      $ 1,248      $ 1,384      $ 948      $ 481   
                                                 

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

   (A)/(B)     5.25 x      3.93 x      2.58 x      2.31 x      2.53 x      3.56 x 
                                                 

INCLUDING INTEREST ON DEPOSITS:

              

Pre-tax income from continuing operations, as reported

     $ 1,845      $ 2,842      $ 1,903      $ 1,771      $ 1,432      $ 1,192   

Share of pre-tax income of unconsolidated entities

       49        34        65        43        16        39   

Fixed charges

       601        2,309        3,546        3,275        2,080        993   
                                                 

Adjusted earnings

   (C)   $ 2,495      $ 5,185      $ 5,514      $ 5,089      $ 3,528      $ 2,224   
                                                 

Interest on short-term borrowings and deposits

     $ 317      $ 2,000      $ 3,257      $ 3,036      $ 1,885      $ 827   

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

       185        187        189        140        100        68   

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

       99        122        100        99        95        98   
                                                 

Fixed charges

   (D)   $ 601      $ 2,309      $ 3,546      $ 3,275      $ 2,080      $ 993   
                                                 

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

   (C)/(D)     4.15 x      2.25 x      1.55 x      1.55 x      1.70 x      2.24 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 the consolidated statement of income.

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