EXHIBIT 12
STATEMENT RE: COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES |
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($ amounts in millions) |
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Six Months Ended June 30, 2007 and 2006 |
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| 2007 |
| 2006 | ||
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Income from continuing operations before income taxes and minority interest | $ | 108.2 |
| $ | 26.7 |
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Less: Equity in losses of venture capital partnership investments |
| (0.8) |
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| (0.9) |
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Add: Distributed earnings of affiliates |
| — |
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| — |
Distributed earnings of venture capital partnership investments |
| 0.2 |
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| 1.1 |
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Income from continuing operations before income taxes, minority interest and equity |
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in undistributed earnings of affiliates and venture capital partnership investments | $ | 109.2 |
| $ | 28.7 |
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Fixed Charges: |
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Interest expense on indebtedness(1) | $ | 21.1 |
| $ | 24.7 |
Stock purchase contract adjustment payments |
| — |
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| — |
Rental expense |
| 0.6 |
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| 0.2 |
Fixed charges, exclusive of interest credited on policyholder contract balances | $ | 21.7 |
| $ | 24.9 |
Interest credited on policyholder contract balances |
| 79.3 |
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| 90.5 |
Total fixed charges, inclusive of interest credited on policyholder contract balances | $ | 101.0 |
| $ | 115.4 |
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Income from continuing operations before income taxes, minority interest, equity in |
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undistributed earnings of affiliates and venture capital partnership investments |
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and fixed charges | $ | 210.2 |
| $ | 144.1 |
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Ratio of earnings to fixed charges |
| 2.1 |
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| 1.2 |
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Additional earnings required to achieve 1:1 ratio coverage | $ | — |
| $ | — |
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SUPPLEMENTAL RATIO(2) — ratio of earnings to fixed charges |
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exclusive of interest credited on policyholder contract balances: |
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Income from continuing operations before income taxes, minority interest and equity |
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in undistributed earnings of affiliates and venture capital partnership investments | $ | 109.2 |
| $ | 28.7 |
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Fixed Charges: |
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Total fixed charges, as above | $ | 21.7 |
| $ | 24.9 |
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Income from continuing operations before income taxes, minority interest, equity in |
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undistributed earnings of affiliates and venture capital partnership investments |
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and fixed charges | $ | 130.9 |
| $ | 53.6 |
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Ratio of earnings to fixed charges |
| 6.0 |
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| 2.2 |
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Additional earnings required to achieve 1:1 ratio coverage | $ | — |
| $ | — |
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(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. | |||||
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(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. | |||||
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