Centex 10-Q 2006 Q1 Quarterly report

Exhibit 12.1

Centex Corporation
Computation of Ratio of Earnings to Fixed Charges
(Dollars in thousands, except ratios)

	Nine Months Ended December 31,						Fiscal Years Ended March 31,(1)
	2006			2005			2006			2005			2004			2003			2002
Total Enterprise:
Earnings
Earnings from continuing operations(2)	$	136,403		$	1,293,352		$	1,895,493		$	1,401,655		$	1,045,458		$	679,809		$	542,834
Minority interests in income of consolidated subsidiaries		2,148			2,902			3,469			2,467			3,723			—			—
Undistributed (income) loss from equity investments		19,035			2,206			5,799			(4,358	)		(17,591	)		6,145			(10,692	)
Fixed charges		324,036			231,504			323,433			237,201			183,645			149,755			135,206
Interest capitalized		(243,250	)		(167,569	)		(232,860	)		(176,874	)		(115,186	)		(73,602	)		(53,568	)
Amortization of capitalized interest		156,539			116,137			171,189			131,937			89,144			49,450			40,851
Net Earnings	$	394,911		$	1,478,532		$	2,166,523		$	1,592,028		$	1,189,193		$	811,557		$	654,631
Fixed Charges
Interest expense including amortization of debt discount	$	315,561		$	224,979		$	312,133		$	228,501		$	176,645		$	141,755		$	126,306
Interest factor attributable to rentals		8,475			6,525			11,300			8,700			7,000			8,000			8,900
Total Fixed Charges	$	324,036		$	231,504		$	323,433		$	237,201		$	183,645		$	149,755		$	135,206
Ratio of Earnings to Fixed Charges		1.22			6.39			6.70			6.71			6.48			5.42			4.84
Total Enterprise (with financial services reflected on the equity method):(3)
Earnings
Earnings from continuing operations(2)	$	136,403		$	1,293,352		$	1,895,493		$	1,401,655		$	1,045,458		$	679,809		$	542,834
Undistributed (income) loss from equity investments		(46,712	)		(61,337	)		(78,666	)		(100,330	)		(183,369	)		(108,531	)		(100,343	)
Fixed charges		255,200			181,727			254,329			202,552			160,020			140,956			119,145
Interest capitalized		(243,250	)		(167,569	)		(232,860	)		(176,874	)		(115,186	)		(73,602	)		(53,568	)
Amortization of capitalized interest		156,539			116,137			171,189			131,937			89,144			49,450			40,851
Net Earnings	$	258,180		$	1,362,310		$	2,009,485		$	1,458,940		$	996,067		$	688,082		$	548,919
Fixed Charges
Interest expense including amortization of debt discount	$	249,125		$	177,077		$	246,229		$	196,352		$	154,720		$	134,756		$	112,145
Interest factor attributable to rentals		6,075			4,650			8,100			6,200			5,300			6,200			7,000
Total Fixed Charges	$	255,200		$	181,727		$	254,329		$	202,552		$	160,020		$	140,956		$	119,145
Ratio of Earnings to Fixed Charges		1.01			7.50			7.90			7.20			6.22			4.88			4.61

(1)	The ratios presented in this table have been adjusted to reflect our sub-prime home equity lending operations (sold in July 2006), international homebuilding operations (sold in September 2005), Centex Construction Products, Inc. (spun off in January 2004), and our manufactured housing operations (spun off in June 2003) as discontinued operations.
(2)	Earnings from Continuing Operations are Before Income Taxes and Cumulative Effect of a Change in Accounting Principle adopted in fiscal 2004.
(3)	Represents a supplemental presentation that reflects the Financial Services segment as if accounted for under the equity method. We believe that separate disclosure of the consolidating information is useful because the Financial Services subsidiaries operate in a distinctly different financial environment that generally requires significantly less equity to support their higher debt levels compared to the operations of our other subsidiaries; the Financial Services subsidiaries have structured their financing programs substantially on a stand-alone basis; and we have limited obligations with respect to the indebtedness of our Financial Services subsidiaries. Management uses this information in its financial and strategic planning. We also use this presentation to allow investors to compare us to homebuilders that do not have financial services operations.