EX-12 3 xlgroup-12312017xex_12.htm EXHIBIT 12 Exhibit


Exhibit 12
XL GROUP LTD
COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES AND RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERENCE DIVIDENDS

 
Twelve Months Ended
(U.S. dollars in thousands, except ratios)
2017
 
2016
Earnings:
 
 
 
Pre-tax income (loss) from continuing operations
$
(633,758
)
 
$
497,119

Fixed charges and preference dividends
306,191

 
355,348

Distributed income of equity investees
155,238

 
92,410

Subtotal
$
(172,329
)
 
$
944,877

Less: Non-controlling interests
(10,557
)
 
7,309

Less: Preference share dividends
95,108

 
121,868

Total earnings (loss)
$
(256,880
)
 
$
815,700

 
 
 
 
Fixed charges:
 
 
 
Interest costs
$
165,061

 
$
170,058

Accretion of deposit liabilities
25,298

 
39,705

Rental expense at 30% (1)
20,724

 
23,717

Total fixed charges
$
211,083

 
$
233,480

Preference share dividends
95,108

 
121,868

Total fixed charges and preference dividends
$
306,191

 
$
355,348

 
 
 
 
Ratio of earnings to fixed charges
N/A

 
3.5

 
 
 
 
Ratio of earnings to combined fixed charges and preference dividends
N/A

 
2.3

 
 
 
 
Deficiency - fixed charges only
$
467,963

 
N/A

 
 
 
 
Deficiency - fixed charges and preference dividends
$
563,071

 
N/A

_______________
(1)
30% represents a reasonable approximation of the interest factor.