Exhibit 12.1
OCWEN FINANCIAL CORPORATION AND SUBSIDIARIES
COMPUTATION OF EARNINGS TO FIXED CHARGES
(Dollars in thousands)
2012 | 2011 | 2010 | 2009 | 2008 | ||||||||||||||||
Earnings: | ||||||||||||||||||||
Income from continuing operations before income taxes (1) | $ | 257,394 | $ | 123,741 | $ | 37,783 | $ | 96,194 | $ | 44,092 | ||||||||||
Add: | ||||||||||||||||||||
Interest expensed and capitalized, except interest on deposits, and amortization of capitalized debt expenses | 221,215 | 131,376 | 85,001 | 62,541 | 86,141 | |||||||||||||||
Interest on deposits | 2,238 | 1,390 | 918 | 572 | 654 | |||||||||||||||
Interest component of rental expense | 4,883 | 1,854 | 4,101 | 2,100 | 2,650 | |||||||||||||||
Total fixed charges (2) | 228,336 | 134,620 | 90,020 | 65,213 | 89,445 | |||||||||||||||
Earnings for computation purposes | $ | 485,730 | $ | 258,361 | $ | 127,803 | $ | 161,407 | $ | 133,537 | ||||||||||
Ratio of earnings to fixed charges: | ||||||||||||||||||||
Including interest on deposits (3) | 2.13 | 1.92 | 1.42 | 2.48 | 1.49 | |||||||||||||||
Excluding interest on deposits (3) | 2.14 | 1.93 | 1.42 | 2.49 | 1.50 | |||||||||||||||
(1) | Excludes income or loss from equity investees but includes any distributions received representing a return on capital. |
(2) | Fixed charges represent total interest expensed and capitalized, including and excluding interest on deposits, amortization of capitalized debt expenses as well as the interest component of rental expense. |
(3) | The ratios of earnings to fixed charges were computed by dividing (x) income from continuing operations before income taxes plus fixed charges by (y) fixed charges. |