EX-12.0 7 a12312015-ex120.htm EXHIBIT 12.0
Exhibit 12.0
BANC OF CALIFORNIA, INC.
FIXED CHARGE CALCULATION
(Dollars in thousands)

| Year Ended December 31,
| 2015 |  | 2014 |  | 2013 |  | 2012 |  | 2011
Ratio of earnings to fixed charges: (1) |  |  |  |  |  |  |  |  |
Excluding interest on deposits | 5.43x |  | 2.73x |  | 1.55x |  | 2.54x |  | -1.33x
Including interest on deposits | 3.05x |  | 1.60x |  | 1.21x |  | 1.57x |  | 0.53x
Ratio of earnings to combined fixed charges and preferred stock dividends: (2) |  |  |  |  |  |  |  |  |
Excluding interest on deposits | 3.09x |  | 1.83x |  | 1.12x |  | 1.53x |  | -0.77x
Including interest on deposits | 2.26x |  | 1.36x |  | 1.05x |  | 1.26x |  | 0.46x

(1) | The ratios of earnings to fixed charges for both excluding and including interest on deposits were less than one-to-one for the year ended December 31, 2011. Earnings were insufficient to cover fixed charges by $2.9 million for the period.

(2) | The ratios of earnings to fixed charges and preferred stock dividends both excluding and including interest on deposits were less than one-to-one for the year ended December 31, 2011. Earnings were insufficient to cover fixed charges by $3.8 million for the period.

Computation of Ratio of Earnings to Fixed Charges and Preferred Stock Dividend Requirement

| Year Ended December 31,
| 2015 |  | 2014 |  | 2013 |  | 2012 |  | 2011
Earnings: |  |  |  |  |  |  |  |  |
1. Income (loss) before income tax | $ | 104,266 |  |  | $ | 26,466 |  |  | $ | 7,908 |  |  | $ | 6,475 |  |  | $ | (2,711 | )
2. Add: Interest expense | 42,621 |  |  | 32,862 |  |  | 23,282 |  |  | 8,479 |  |  | 6,037 |
3. Earnings including interest on deposits | 146,887 |  |  | 59,328 |  |  | 31,190 |  |  | 14,954 |  |  | 3,326 |
4. Less: Interest expense on deposits | 25,783 |  |  | 24,411 |  |  | 16,051 |  |  | 5,960 |  |  | 4,989 |
5. Earnings excluding interest on deposits | $ | 121,104 |  |  | $ | 34,917 |  |  | $ | 15,139 |  |  | $ | 8,994 |  |  | $ | (1,663 | )
Fixed charges: |  |  |  |  |  |  |  |  |
6. Interest expense (Line 2) | $ | 42,621 |  |  | $ | 32,862 |  |  | $ | 23,282 |  |  | $ | 8,479 |  |  | $ | 6,037 |
7. Interest portion on rental expense | 5,460 |  |  | 4,331 |  |  | 2,532 |  |  | 1,025 |  |  | 202 |
8. Including interest on deposits and capitalized interest | 48,081 |  |  | 37,193 |  |  | 25,814 |  |  | 9,504 |  |  | 6,239 |
9. Less interest expense on deposits (Line 4) | 25,783 |  |  | 24,411 |  |  | 16,051 |  |  | 5,960 |  |  | 4,989 |
10. Total fixed charges, excluding interest on deposits | $ | 22,298 |  |  | $ | 12,782 |  |  | $ | 9,763 |  |  | $ | 3,544 |  |  | $ | 1,250 |
Fixed charges and preferred stock dividends: |  |  |  |  |  |  |  |  |
11. Interest expense (Line 2) | $ | 42,621 |  |  | $ | 32,862 |  |  | $ | 23,282 |  |  | $ | 8,479 |  |  | $ | 6,037 |
12. Interest portion on rental expense | 5,460 |  |  | 4,331 |  |  | 2,532 |  |  | 1,025 |  |  | 202 |
13. Preferred stock dividends (1) | 16,936 |  |  | 6,276 |  |  | 3,767 |  |  | 2,343 |  |  | 921 |
14. Including interest on deposits, capitalized interest and preferred stock dividends | 65,017 |  |  | 43,469 |  |  | 29,581 |  |  | 11,847 |  |  | 7,160 |
15. Less interest expense on deposits (Line 4) | 25,783 |  |  | 24,411 |  |  | 16,051 |  |  | 5,960 |  |  | 4,989 |
16. Total fixed charges and preferred stock dividends, excluding interest on deposits | $ | 39,234 |  |  | $ | 19,058 |  |  | $ | 13,530 |  |  | $ | 5,887 |  |  | $ | 2,171 |
Ratio of earnings to fixed charges: |  |  |  |  |  |  |  |  |
Excluding interest on deposits (Line 5 divided by Line 10) | 5.43 |  | 2.73 |  | 1.55 |  | 2.54 |  | (1.33)
Including interest on deposits (Line 3 divided by Line 8) | 3.05 |  | 1.60 |  | 1.21 |  | 1.57 |  | 0.53
Deficiency | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 2,913 |
Ratio of earnings to fixed charges and preferred stock dividends: |  |  |  |  |  |  |  |  |
Excluding interest on deposits (Line 5 divided by Line 16) | 3.09 |  | 1.83 |  | 1.12 |  | 1.53 |  | (0.77)
Including interest on deposits (Line 3 divided by Line 14) | 2.26 |  | 1.36 |  | 1.05 |  | 1.26 |  | 0.46
Deficiency | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | — |  |  | $ | 3,834 |

(1) Utilized a 42 percent effective tax rate