Radian (RDN) 10-Q 2012 Q3 Quarterly report

Exhibit 12

Radian Group Inc.

Ratio of Earnings to Fixed Charges and to Combined Fixed Charges and Preferred Stock Dividends

	Nine Months Ended			Fiscal Years Ended December 31,
	September 30, 2012			2011			2010			2009			2008			2007
Net (loss) earnings	$	(274,166	)	$	302,150		$	(1,805,867	)	$	(147,879	)	$	(410,579	)	$	(1,290,299	)
Federal and state income tax (benefit) provision	(13,180		)	66,362			226,189			(94,401		)	(263,550		)	(778,616		)
(Loss) earnings before income taxes	(287,346		)	368,512			(1,579,678		)	(242,280		)	(674,129		)	(2,068,915		)
Equity in net loss (income) of affiliates	13			(65		)	(14,668		)	(33,226		)	(59,797		)	416,541
Distributed income from equity investees	92			—			29,498			11,040			35,460			51,512
Net (loss) earnings	(287,241		)	368,447			(1,564,848		)	(264,466		)	(698,466		)	(1,600,862		)
Fixed charges:
Interest	39,249			61,394			41,777			46,010			53,514			53,068
One-Third of all rentals	1,483			1,678			1,621			2,496			2,529			2,746
Fixed charges	40,732			63,072			43,398			48,506			56,043			55,814
Preferred dividends	—			—			—			—			—			—
Fixed charges and preferred dividends	40,732			63,072			43,398			48,506			56,043			55,814
Net (loss) earnings and fixed charges	$	(246,509	)	$	431,519		$	(1,521,450	)	$	(215,960	)	$	(642,423	)	$	(1,545,048	)
Net (loss) earnings, fixed charges and preferred dividends	$	(246,509	)	$	431,519		$	(1,521,450	)	$	(215,960	)	$	(642,423	)	$	(1,545,048	)
Ratio of net (loss) earnings and fixed charges to fixed charges	(1		)	6.8x			(1		)	(1		)	(1		)	(1		)
Ratio of net (loss) earnings, fixed charges and preferred stock dividends to fixed charges and preferred stock dividends (2)	(1		)	6.8x			(1		)	(1		)	(1		)	(1		)

(1) For the nine months ended September 30, 2012, and in 2010, 2009, 2008 and 2007, earnings were not adequate to cover fixed charges in the amount of $(246,509), $(1,521,450), $(215,960), $(642,423), and $(1,545,048), respectively.

(2) Interest on tax accruals that are non-third party indebtedness are excluded from the calculation.