Exhibit 12.1
AmTrust Financial Services, Inc.
Computation of Ratio of Earnings to Combined Fixed Charges and Preferred Dividends
(Amounts in Thousands)
Six Months Ended June 30, 2014 | ||||||||||||||||||||||||
Year Ended December 31, | ||||||||||||||||||||||||
2013 | 2012 | 2011 | 2010 | 2009 | ||||||||||||||||||||
Earnings: | ||||||||||||||||||||||||
Pretax income from continuing operations before adjustment for income or loss from equity investees | $ | 228,812 | $ | 379,249 | $ | 196,857 | $ | 171,259 | $ | 178,238 | $ | 131,514 | ||||||||||||
Fixed charges | 24,084 | 34,691 | 28,508 | 16,709 | 12,902 | 16,884 | ||||||||||||||||||
Company share of pre-tax losses of equity investees for which charges arising from guarantees are included in fixed charges | — | — | — | — | (1,288 | ) | (822 | ) | ||||||||||||||||
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$ | 252,896 | $ | 413,940 | $ | 225,365 | $ | 187,968 | $ | 189,852 | $ | 147,576 | |||||||||||||
Less: | ||||||||||||||||||||||||
Interest capitalized | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
Non-controlling interest in pre-tax (loss) income of subsidiaries that have not incurred fixed charges | (4,090 | ) | (1,633 | ) | 6,873 | 20,730 | 5,109 | — | ||||||||||||||||
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(4,090 | ) | (1,633 | ) | 6,873 | 20,730 | 5,109 | — | |||||||||||||||||
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Total Earnings | $ | 256,986 | $ | 415,573 | $ | 218,492 | $ | 167,238 | $ | 184,743 | $ | 147,576 | ||||||||||||
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Fixed Charges: | ||||||||||||||||||||||||
Interest expensed and capitalized, and amortized premiums, discounts and capitalized expenses related to indebtedness | 24,084 | 34,691 | 28,508 | 16,709 | 12,902 | 16,884 | ||||||||||||||||||
Expense of the interest within rental expense(1) | — | — | — | — | — | — | ||||||||||||||||||
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Total Fixed Charges | $ | 24,084 | $ | 34,691 | $ | 28,508 | $ | 16,709 | $ | 12,902 | $ | 16,884 | ||||||||||||
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Preferred Dividends: | ||||||||||||||||||||||||
Preferred dividends | 3,882 | 3,989 | — | — | — | — | ||||||||||||||||||
Preferred dividends grossed up to a pre-income tax basis | 5,972 | 6,137 | — | — | — | — | ||||||||||||||||||
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Total combined fixed charges and preferred dividends | $ | 30,056 | $ | 40,828 | $ | 28,508 | $ | 16,709 | $ | 12,902 | $ | 16,884 | ||||||||||||
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Ratio of Earnings to Combined Fixed Charges and Preferred Dividends | 8.6 | 10.2 | 7.7 | 10.0 | 14.3 | 8.7 |
(1) | Deemed to be immaterial |