EXHIBIT 12
Radian Group Inc.
Ratio of Earnings to Fixed Charges and to Combined Fixed Charges and Preferred Stock Dividends
2009 | 2008 | 2007 | 2006 | 2005 | ||||||||||||||||
Net (loss) earnings | $ | (147,879 | ) | $ | (410,579 | ) | $ | (1,290,299 | ) | $ | 582,172 | $ | 522,854 | |||||||
Federal and state income taxes | (94,401 | ) | (263,550 | ) | (778,616 | ) | 231,097 | 217,485 | ||||||||||||
(Loss) earnings before income taxes | (242,280 | ) | (674,129 | ) | (2,068,915 | ) | 813,269 | 740,339 | ||||||||||||
Equity in net (income) loss of affiliates | (33,226 | ) | (59,797 | ) | 416,541 | (256,993 | ) | (217,692 | ) | |||||||||||
Distributed income from equity investees | 11,040 | 35,460 | 51,512 | 150,609 | 144,161 | |||||||||||||||
Net (loss) earnings | (264,466 | ) | (698,466 | ) | (1,600,862 | ) | 706,885 | 666,808 | ||||||||||||
Fixed charges: | ||||||||||||||||||||
Interest | 46,010 | 53,514 | 53,068 | 48,149 | 43,043 | |||||||||||||||
One-third of all rentals | 2,496 | 2,529 | 2,746 | 3,255 | 2,852 | |||||||||||||||
Fixed charges | 48,506 | 56,043 | 55,814 | 51,404 | 45,895 | |||||||||||||||
Preferred dividends | 0 | 0 | 0 | 0 | 0 | |||||||||||||||
Fixed charges and preferred dividends | 48,506 | 56,043 | 55,814 | 51,404 | 45,895 | |||||||||||||||
Net (loss) earnings and fixed charges | $ | (215,960 | ) | $ | (642,423 | ) | $ | (1,545,048 | ) | $ | 758,289 | $ | 712,703 | |||||||
Net (loss) earnings, fixed charges and preferred dividends | $ | (215,960 | ) | $ | (642,423 | ) | $ | (1,545,048 | ) | $ | 758,289 | $ | 712,703 | |||||||
Ratio of net (loss) earnings and fixed charges to fixed charges (2) | (1 | ) | (1 | ) | (1 | ) | 14.8x | 15.5x | ||||||||||||
Ratio of net (loss) earnings, fixed charges and preferred stock dividends to fixed charges and preferred stock dividends (2) | (1 | ) | (1 | ) | (1 | ) | 14.8x | 15.5x |
(1) | In 2009, 2008 and 2007, earnings were not adequate to cover fixed charges in the amount of $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. |