EX-12.1 7 ace-12312012xex121.htm EX-12.1 ACE-12.31.2012-Ex 12.1


Exhibit 12.1
Ratio of Earnings to Fixed Charges and Preferred Share Dividends
(in millions of U.S. dollars except ratios)

 
Years Ended December 31
 
 
2012

 
2011

 
2010

 
2009

 
2008

Earnings per Financial Statements
$
2,706

 
$
1,540

 
$
3,085

 
$
2,523

 
$
1,182

Add:
 
 
 
 
 
 
 
 
 
Provision for income taxes
270

 
502

 
553

 
521

 
367

Fixed charges
287

 
288

 
251

 
253

 
256

Earnings for Computation
$
3,263

 
$
2,330

 
$
3,889

 
$
3,297

 
$
1,805

Fixed Charges
 
 
 
 
 
 
 
 
 
Interest Expense
$
250

 
$
250

 
$
224

 
$
225

 
$
230

One third of payments under operating leases
37

 
38

 
27

 
28

 
26

Total Fixed Charges
$
287

 
$
288

 
$
251

 
$
253

 
$
256

Ratio of Earnings to Fixed Charges
11.4

 
8.1

 
15.5

 
13.0

 
7.1

Preferred Share Dividends
$
—

 
$
—

 
$
—

 
$
—

 
$
24

Total Fixed Charges and Preferred Share Dividends
$
287

 
$
288

 
$
251

 
$
253

 
$
280

Ratio of Earnings to Fixed Charges and
 
 
 
 
 
 
 
 
 
Preferred Share Dividends
11.4

 
8.1

 
15.5

 
13.0

 
6.5


Note:
ACE recognizes accruals for interest and penalties, if any, related to unrecognized tax benefits in income tax expense (i.e., excluded from interest expense).