EX-12.1 5 y32307exv12w1.htm EX-12.1: COMPUTATION OF RATIO OF CONSOLIDATED EARNINGS TO FIXED CHARGES EX-12.1
 

EXHIBIT 12.1
 
THE CHUBB CORPORATION
 
COMPUTATION OF RATIO OF CONSOLIDATED EARNINGS TO FIXED CHARGES
 
                                         
    2002     2003     2004     2005     2006  
    (In millions except for ratio amounts)  
 
Income from continuing operations before provision for income taxes
  $ 168     $ 934     $ 2,068     $ 2,447     $ 3,525  
Less:
                                       
Income (loss) from equity investees
    (6 )     93       207       186       266  
Add:
                                       
Interest expensed
    84       130       139       135       134  
Capitalized interest amortized or expensed
    14       9       14       15       32  
Portion of rents representative of the interest factor
    37       35       35       34       32  
Distributions from equity investees
    13       17       101       138       72  
                                         
Income as adjusted
  $ 322     $ 1,032     $ 2,150     $ 2,583     $ 3,529  
                                         
Fixed charges:
                                       
Interest expensed
  $ 84     $ 130     $ 139     $ 135     $ 134  
Capitalized interest
    3       —       —       —       —  
Portion of rents representative of the interest factor
    37       35       35       34       32  
                                         
Fixed charges
  $ 124     $ 165     $ 174     $ 169     $ 166  
                                         
Ratio of consolidated earnings to fixed charges
    2.59       6.25       12.36       15.28       21.26