EXHIBIT 12
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES |
|
|
|
|
|
($ amounts in millions) |
|
|
|
|
|
Three Months Ended March 31, 2007 and 2006 |
|
|
|
|
|
|
|
|
|
|
|
| 2007 |
| 2006 | ||
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes and minority interest | $ | 72.2 |
| $ | (1.1) |
|
|
|
|
|
|
Less: Equity in earnings (losses) of venture capital partnership investments |
| (0.5) |
|
| (0.7) |
|
|
|
|
|
|
Add: Distributed earnings of affiliates |
| — |
|
| — |
Distributed earnings of venture capital partnership investments |
| 0.1 |
|
| 0.9 |
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes, minority interest and |
|
|
|
|
|
equity in undistributed earnings of affiliates and venture capital |
|
|
|
|
|
partnership investments | $ | 72.8 |
| $ | 0.5 |
|
|
|
|
|
|
Fixed Charges: |
|
|
|
|
|
Interest expense on indebtedness(1) | $ | 9.5 |
| $ | 12.4 |
Stock purchase contract adjustment payments |
| — |
|
| — |
Rental expense |
| 0.3 |
|
| 0.1 |
Fixed charges, exclusive of interest credited on policyholder contract balances | $ | 9.8 |
| $ | 12.5 |
Interest credited on policyholder contract balances |
| 39.7 |
|
| 45.5 |
Total fixed charges, inclusive of interest credited on policyholder contract balances | $ | 49.5 |
| $ | 58.0 |
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes, minority interest, |
|
|
|
|
|
equity in undistributed earnings of affiliates and venture capital |
|
|
|
|
|
partnership investments and fixed charges | $ | 122.3 |
| $ | 58.5 |
|
|
|
|
|
|
Ratio of earnings to fixed charges |
| 2.5 |
|
| 1.0 |
|
|
|
|
|
|
Additional earnings required to achieve 1:1 ratio coverage | $ | — |
| $ | — |
|
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL RATIO(2) — ratio of earnings to fixed charges |
|
|
|
|
|
exclusive of interest credited on policyholder contract balances: |
|
|
|
|
|
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes, minority interest and |
|
|
|
|
|
equity in undistributed earnings of affiliates and venture capital |
|
|
|
|
|
partnership investments | $ | 72.8 |
| $ | 0.5 |
|
|
|
|
|
|
Fixed Charges: |
|
|
|
|
|
Total fixed charges, as above | $ | 9.8 |
| $ | 12.5 |
|
|
|
|
|
|
Income (loss) from continuing operations before income taxes, minority interest and |
|
|
|
|
|
equity in undistributed earnings of affiliates and venture capital partnership |
|
|
|
|
|
investments and fixed charges | $ | 82.6 |
| $ | 13.0 |
|
|
|
|
|
|
Ratio of earnings to fixed charges |
| 8.4 |
|
| 1.0 |
|
|
|
|
|
|
Additional earnings required to achieve 1:1 ratio coverage | $ | — |
| $ | — |
|
|
|
|
|
|
(1) Interest expense on collateralized obligations is not included as these are non-recourse liabilities to Phoenix and | |||||
the interest expense is solely funded by assets pledged as collateral consolidated on our balance sheet. | |||||
| |||||
(2) This ratio is disclosed for the convenience of investors and may be more comparable to the ratios disclosed by | |||||
other issuers of fixed income securities. |