Attached files

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EX-32.2 - EX-32.2 - IBM CREDIT LLCa18-8698_1ex32d2.htm
EX-32.1 - EX-32.1 - IBM CREDIT LLCa18-8698_1ex32d1.htm
EX-31.2 - EX-31.2 - IBM CREDIT LLCa18-8698_1ex31d2.htm
EX-31.1 - EX-31.1 - IBM CREDIT LLCa18-8698_1ex31d1.htm
10-Q - 10-Q - IBM CREDIT LLCa18-8698_110q.htm

EXHIBIT 12

 

COMPUTATION OF RATIO OF INCOME

TO FIXED CHARGES

FOR THE THREE MONTHS ENDED MARCH 31,

(UNAUDITED)

 

(Dollars in millions)

 

2018

 

2017

 

Income before income taxes (1)

 

$

191

 

$

178

 

 

 

 

 

 

 

Add: fixed charges, excluding capitalized interest

 

102

 

83

 

 

 

 

 

 

 

Income as adjusted before income taxes

 

$

292

 

$

261

 

 

 

 

 

 

 

Fixed charges:

 

 

 

 

 

Interest expense

 

$

102

 

$

83

 

Portion of rental expense representative of interest (2)

 

 

 

 

 

 

 

 

 

Total fixed charges

 

$

102

 

$

83

 

 

 

 

 

 

 

Ratio of income to fixed charges

 

2.88

 

3.14

 

 


(1)   Income before income taxes excludes (a) amortization of capitalized interest, and (b) the company’s share in the income and losses of less-than-fifty percent-owned affiliates.

(2)   The company is globally located and conducts business primarily from parent-leased and parent-owned facilities for which it is charged occupancy charges. These costs may not be indicative of the expenses that IBM Credit will incur in the future, or would have incurred if the company had obtained these services from a third party. The amounts charged to the company by IBM in the periods presented were not material.

 

1