EX-12.1 3 dex121.htm STATEMENT REGARDING COMPUTATION OF RATION OF EARNINGS TO FIXED CHARGES Statement Regarding Computation of Ration of Earnings to Fixed Charges

EXHIBIT 12.1

 

STATEMENT REGARDING COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES

 

     Year Ended December 31
     2005
    2004
     2003
     2002
    2001
     (in millions, except ratios)

Earnings

                                     

Income (Loss) from Continuing Operations Before Income Tax and Cumulative Effect of Accounting Principle Change

    $ 709.6    $ (259.5 )   $ (435.2 )   $ 593.2    $ 753.8

Fixed Charges

      241.2      241.1       221.1       202.3      218.1
    
  
 
 
  

Adjusted Earnings

    $ 950.8    $ (18.4 )   $ (214.1 )   $ 795.5    $ 971.9
    
  
 
 
  

Fixed Charges

                                     

Interest and Debt Expense

    $ 208.0    $ 207.1     $ 187.2     $ 162.4    $ 169.6

Interest Credited to Policyholders

      13.8      14.2       16.7       23.8      30.4

Amortization of Deferred Debt Costs

      7.8      7.3       5.4       3.3      7.1

Portion of Rents Deemed Representative of Interest

      11.6      12.5       11.8       12.8      11.0
    
  
 
 
  

Total Fixed Charges

    $ 241.2    $ 241.1     $ 221.1     $ 202.3    $ 218.1
    
  
 
 
  

Ratio of Earnings to Fixed Charges

      3.9        (a)       (a)     3.9      4.5

 

(a) Earnings were inadequate to cover fixed charges. The coverage deficiency totaled $259.5 million and $435.2 million for the years ended December 31, 2004 and 2003, respectively.