HSBC 2008 Annual Report Download - page 59

57
Contractual obligations
The table below provides details of HSBC’s material contractual obligations as at 31 December 2008.
Payments due by period
Total
Less than
1 year 1–5 years
More than
5 years
US$m US$m US$m US$m
Long-term debt obligations .......................................... 254,946 92,191 99,353 63,402
Term deposits and certificates of deposit ..................... 256,661 245,672 10,989 –
Capital (finance) lease obligations ............................... 979 55 188 736
Operating lease obligations .......................................... 4,139 766 1,800 1,573
Purchase obligations ..................................................... 1,541 948 593 –
Short positions in debt securities and equity shares ..... 66,774 52,679 4,477 9,618
Current tax liability ....................................................... 1,822 1,822 – –
Pension obligations ....................................................... 15,137 1,208 5,393 8,536
601,999 395,341 122,793 83,865
Ratios of earnings to combined fixed charges (and preference share dividends)
2008 2007 2006 2005 2004
% % % % %
Ratios of earnings to combined fixed charges and preference
share dividends
Ratios in accordance with IFRSs
– excluding interest on deposits ............................................... 2.97 6.96 7.22 9.16 8.64
– including interest on deposits ................................................ 1.13 1.34 1.40 1.59 1.86
Ratios in accordance with UK GAAP
– excluding interest on deposits ............................................... – – – – 8.07
– including interest on deposits ................................................ – – – – 1.81
Ratios of earnings to combined fixed charges
Ratios in accordance with IFRSs
– excluding interest on deposits ............................................... 3.17 7.52 7.93 9.60 8.64
– including interest on deposits ................................................ 1.14 1.34 1.41 1.59 1.86
Ratios in accordance with UK GAAP
– excluding interest on deposits ............................................... – – – – 8.07
– including interest on deposits ................................................ – – – – 1.81
For the purpose of calculating the ratios, earnings consist of income from continuing operations before taxation and minority interests,
plus fixed charges, and after deduction of the unremitted pre-tax income of associated undertakings. Fixed charges consist of total interest
expense, including or excluding interest on deposits, as appropriate, dividends on preference shares and other equity instruments, as
applicable, and the proportion of rental expense deemed representative of the interest factor.