SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
 
FORM 6-K   
 
 
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934
                                      
 
 
2 August 2013
 
 
 
LLOYDS BANKING GROUP plc
(Translation of registrant's name into English)
 
 
25 Gresham Street
London
EC2V 7HN
United Kingdom
 
 
(Address of principal executive offices)
 
 
Indicate by check mark whether the registrant files or will file annual reports
under cover of Form 20-F or Form 40-F.
 
Form 20-F...X...   Form 40-F.......
 
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ___
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ____
 
This report on Form 6-K shall be deemed incorporated by reference into the company's Registration Statement on Form F-3 (File No. 333-189150) and to be a part thereof from the date on which this report is filed, to the extent not superseded by documents or reports subsequently filed or furnished.

 
 
 

 
Lloyds Banking Group plc

Lloyds Banking Group plc hereby incorporates by reference the following exhibit to this report on Form 6-K into its Registration Statement on Form F-3 (File No. 333-189150):



Exhibit
  
Document
1
  
Statement of Computation of Ratio of Earnings to Fixed Charges and Ratio of Earnings to Combined Fixed Charges and Preference Dividends.

 
 
 
 
 
 
 
Signatures
 
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


  LLOYDS BANKING GROUP plc
(Registrant)
  
         
         
2 August 2013        
         
         
         
 
By:
                 /s/ G Culmer
  
     Name:  George Culmer  
     Title:  Group Finance Director
Lloyds Banking Group plc
  
         
 

 
 
 


Exhibit 1

Ratio of earnings to fixed charges

The table below shows the ratio of earnings to fixed charges and ratio of earnings to combined fixed charges and preference dividends:

   
Six months ended
    
Year ended
  
Earnings (1)
  
30 June 
2013
    
31 Dec 
2012(2)(3)
    
31 Dec 
2011(2)
    
31 Dec 
2010(2)
    
31 Dec 
2009(2)
    
31 Dec 
2008(4)
  
      £m       £m       £m       £m       £m       £m  
Profit (loss) profit before tax
     2,134       (606 )     (551 )     (2,904 )     961       760  
Add: Share of losses / (profits) from joint ventures and associates
     (19 )     (28 )     (31 )     88       752       (4 )
Add: Dividends received from joint ventures and associates
     20       13       6       1       21       2  
Add: Fixed charges
     7,811       16,435       14,221       17,173       19,866       10,352  
Earnings
     9,946       15,814       13,645       14,358       21,600       11,110  
                                                 
                                                 
Fixed charges
                                                
                                                 
Interest expensed and capitalised (5)
     7,764       16,331       14,097       17,034       19,730       10,277  
Estimated interest included within rental expense (6)
     47       104       124       139       136       75  
Fixed charges
     7,811       16,435       14,221       17,173       19,866       10,352  
                                                 
Preference dividends (7)
     -       -       -       -       -       -  
                                                 
Combined fixed charges and preference dividends
     7,811       16,435       14,221       17,173       19,866       10,352  
                                                 
Ratios
                                                
Ratio of earnings to fixed charges
     1.27       N/A       N/A       N/A       1.09       1.07  
Ratio of earnings to combined fixed charges and preference dividends
     1.27       N/A       N/A       N/A       1.09       1.07  

In the year ended 31 December 2012 earnings were inadequate to cover fixed charges by £621 million and to cover combined fixed charges and preference dividends by £621 million.

In the year ended 31 December 2011 earnings were inadequate to cover fixed charges by £576 million and to cover combined fixed charges and preference dividends by £576 million.

In the year ended 31 December 2010 earnings were inadequate to cover fixed charges by £2,815 million and to cover combined fixed charges and preference dividends by £2,815 million.
 
 
 
 
 
 
Notes

(1)  
For the purposes of these ratios, earnings consist of (loss) profit before tax, less the unremitted income of joint ventures and associates plus fixed charges.  Unremitted income is calculated as the share of profits / losses from joint ventures and associates less dividends received.

(2)  
(Loss) profit before tax for the years 2009 to 2012 has been restated in 2013 for the adoption of IAS 19 (Revised 2011) Employee Benefits.

(3)  
Loss before tax for 2012 has been restated in accordance with the transitional provisions of IFRS 10 Consolidated Financial Statements in 2013.

(4)  
The profit before tax for 2008 was restated in 2009 to show the impact of amendment to IFRS 2 Share-based Payment, which was adopted in the Group's 2009 consolidated financial statements, as disclosed in note 1 on page F-11 of the Group's 2010 Annual Report on Form 20-F.

(5)  
Interest expensed and capitalised includes the amortisation of debt issuance costs, discounts and premiums and includes interest expense from the banking book included within “interest and similar expense” as well as interest expense from the trading book included within “other operating income”.

(6)  
Fixed charges consist of total interest expensed and capitalised plus an estimate for the proportion of rental expenses deemed to represent interest cost.  This has been estimated at 30% of rental expenses, as a reasonable approximation of the interest factor.

(7)  
There are no preference shares accounted for as equity; all preference shares being accounted for as debt and therefore preference share dividends are already included within interest costs.  As a result, the ratios calculated using fixed charges and combined fixed charges plus preference dividends are the same.