Exhibit 12
Genworth Financial, Inc.
Computation of Ratio of Income to Fixed Charges
(Amounts in millions)
| Years ended December 31, | |||||||||||||||
| 2006 | 2005 | 2004 | 2003 | 2002 | |||||||||||
Income from continuing operations before income taxes and accounting changes | $ | 1,853 | $ | 1,745 | $ | 1,584 | $ | 1,305 | $ | 1,688 | |||||
Fixed charges included in income from continuing operations: | |||||||||||||||
Interest expense | 364 | 293 | 217 | 140 | 124 | ||||||||||
Interest portion of rental expense | 15 | 13 | 14 | 23 | 25 | ||||||||||
Subtotal | 379 | 306 | 231 | 163 | 149 | ||||||||||
Interest credited to investment contractholders | 1,520 | 1,423 | 1,431 | 1,623 | 1,644 | ||||||||||
Subtotal | 1,899 | 1,729 | 1,662 | 1,786 | 1,793 | ||||||||||
Fixed charges included in income from discontinued operations: | |||||||||||||||
Interest expense | — | — | — | 12 | 16 | ||||||||||
Interest portion of rental expense | — | — | — | 8 | 12 | ||||||||||
Subtotal | — | — | — | 20 | 28 | ||||||||||
Interest credited to investment contractholders | 2 | 2 | 1 | 69 | 80 | ||||||||||
Total fixed charges from discontinued operations | 2 | 2 | 1 | 89 | 108 | ||||||||||
Total fixed charges | 1,901 | 1,731 | 1,663 | 1,875 | 1,901 | ||||||||||
Income available for fixed charges (including interest credited to investment contractholders) | $ | 3,754 | $ | 3,476 | $ | 3,247 | $ | 3,180 | $ | 3,589 | |||||
Income available for fixed charges (excluding interest credited to investment contractholders) | $ | 2,232 | $ | 2,051 | $ | 1,815 | $ | 1,488 | $ | 1,865 | |||||
Ratio of income to fixed charges (including interest credited to investment contractholders) | 1.97 | 2.01 | 1.95 | 1.70 | 1.89 | ||||||||||
Ratio of income to fixed charges (excluding interest credited to investment contractholders) | 5.89 | 6.70 | 7.86 | 8.13 | 10.54 | ||||||||||