Exhibit 12.1
CNO FINANCIAL GROUP, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(Dollars in millions)
| Three months ended | Year ended December 31, | |||||||||||||||||||||||
| March 31, 2015 | 2014 | 2013 | 2012 | 2011 | 2010 | |||||||||||||||||||
| Pretax income from operations: | ||||||||||||||||||||||||
| Net income | $ | 52.8 | $ | 51.4 | $ | 478.0 | $ | 221.0 | $ | 335.7 | $ | 240.6 | ||||||||||||
| Add income tax expense (benefit) | 29.5 | 123.7 | (173.2 | ) | (65.3 | ) | (29.5 | ) | (15.7 | ) | ||||||||||||||
| Pretax income from operations | 82.3 | 175.1 | 304.8 | 155.7 | 306.2 | 224.9 | ||||||||||||||||||
| Add fixed charges: | ||||||||||||||||||||||||
| Interest expense on corporate debt | 10.5 | 43.9 | 51.3 | 66.2 | 76.3 | 79.3 | ||||||||||||||||||
| Interest expense on investment borrowings and borrowings related to variable interest entities | 11.0 | 48.9 | 54.0 | 48.4 | 37.8 | 33.9 | ||||||||||||||||||
| Interest added to policyholder account balances | 31.6 | 173.0 | 232.5 | 260.5 | 282.5 | 303.9 | ||||||||||||||||||
| Portion of rental (a) | 4.0 | 15.1 | 13.3 | 14.6 | 13.1 | 13.0 | ||||||||||||||||||
| Fixed charges | 57.1 | 280.9 | 351.1 | 389.7 | 409.7 | 430.1 | ||||||||||||||||||
| Adjusted earnings | $ | 139.4 | $ | 456.0 | $ | 655.9 | $ | 545.4 | $ | 715.9 | $ | 655.0 | ||||||||||||
| Ratio of earnings to fixed charges | 2.44X | 1.62X | 1.87X | 1.40X | 1.75X | 1.52X | ||||||||||||||||||
| (a) | Interest portion of rental is estimated to be 33 percent. |
