Bank of America Corporation and Subsidiaries
 
 
 
 
 
 
 
 
Exhibit 12
 
Ratio of Earnings to Fixed Charges
 
 
 
 
 
 
 
 
 
 
 
Ratio of Earnings to Fixed Charges and Preferred Dividends
 
 
 
Year Ended December 31
(Dollars in millions)
Three Months Ended March 31, 2016
 
2015
 
2014
 
2013
 
2012
 
2011
Excluding Interest on Deposits
 
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes
$
3,699

 
$
22,154

 
$
6,855

 
$
16,172

 
$
3,072

 
$
(230
)
Equity in undistributed earnings (loss) of unconsolidated subsidiaries
(14
)
 
(152
)
 
(222
)
 
(66
)
 
212

 
596

Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
Interest expense
2,299

 
9,688

 
9,854

 
11,359

 
14,754

 
18,618

1/3 of net rent expense (1)
224

 
945

 
1,023

 
1,091

 
1,092

 
1,072

Total fixed charges
2,523

 
10,633

 
10,877

 
12,450

 
15,846

 
19,690

Preferred dividend requirements (2)
631

 
2,068

 
1,481

 
1,767

 
1,080

 
n/m

Fixed charges and preferred dividends
3,154

 
12,701

 
12,358

 
14,217

 
16,926

 
19,690

Earnings
$
6,208

 
$
32,635

 
$
17,510

 
$
28,556

 
$
19,130

 
$
20,056

Ratio of earnings to fixed charges
2.46

 
3.07

 
1.61

 
2.29

 
1.21

 
1.02

Ratio of earnings to fixed charges and preferred dividends
1.97

 
2.57

 
1.42

 
2.01

 
1.13

 
1.02

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Year Ended December 31
(Dollars in millions)
Three Months Ended March 31, 2016
 
2015
 
2014
 
2013
 
2012
 
2011
Including Interest on Deposits
 
 
 
 
 
 
 
 
 
 
 
Income (loss) before income taxes
$
3,699

 
$
22,154

 
$
6,855

 
$
16,172

 
$
3,072

 
$
(230
)
Equity in undistributed earnings (loss) of unconsolidated subsidiaries
(14
)
 
(152
)
 
(222
)
 
(66
)
 
212

 
596

Fixed charges:
 
 
 
 
 
 
 
 
 
 
 
Interest expense
2,524

 
10,549

 
10,934

 
12,755

 
16,744

 
21,620

1/3 of net rent expense (1)
224

 
945

 
1,023

 
1,091

 
1,092

 
1,072

Total fixed charges
2,748

 
11,494

 
11,957

 
13,846

 
17,836

 
22,692

Preferred dividend requirements (2)
631

 
2,068

 
1,481

 
1,767

 
1,080

 
n/m

Fixed charges and preferred dividends
3,379

 
13,562

 
13,438

 
15,613

 
18,916

 
22,692

Earnings
$
6,433

 
$
33,496

 
$
18,590

 
$
29,952

 
$
21,120

 
$
23,058

Ratio of earnings to fixed charges
2.34

 
2.91

 
1.55

 
2.16

 
1.18

 
1.02

Ratio of earnings to fixed charges and preferred dividends
1.90

 
2.47

 
1.38

 
1.92

 
1.12

 
1.02

(1) 
Represents an appropriate interest factor.
(2) 
The loss before income taxes for 2011 reflects the impact of $8.8 billion of mortgage banking losses and $3.2 billion of goodwill impairment charges, which resulted in a negative preferred dividend requirement.
n/m = not meaningful