EXHIBIT 12.1
RATIO OF EARNINGS TO FIXED CHARGES -- SENIOR DEBT OFFERING CIRCULAR
($ IN MILLIONS)
EXCLUDING INTEREST CREDITED
UNDER REINSURANCE CONTRACTS HISTORICAL ADJUSTED
------------------------------------------ PRO FORMA PRO FORMA
1996 1997 1998 1999 2000 2000 (a) 2000 (b)
------ ------ ------ ------ ------ --------- ---------
Income from continuing operations before income
taxes and minority interest $ 91.2 $113.4 $138.1 $ 93.1 $175.3 $170.1 $156.9
Fixed charges:
Interest expensed and capitalized $ 6.2 $ 7.8 $ 8.8 $ 11.0 $ 17.6 $ 22.8 $ 22.9
One-third of rentals $ 0.9 $ 1.0 $ 0.9 $ 1.4 $ 2.0 $ 2.0 $ 2.0
Distribution requirements of preferred securities
of majority-owned subsidiary $ -- $ 13.1
------ ------ ------ ------ ------ ------ ------
Total fixed charges $ 7.1 $ 8.8 $ 9.7 $ 12.4 $ 19.6 $ 24.8 $ 38.0
Less interest capitalized, net of amortization $ -- $ -- $ -- $ -- $ -- $ -- $ --
Income from continuing operations before income taxes
and minority interest plus fixed charges $ 98.3 $122.2 $147.8 $105.5 $194.9 $194.9 $194.9
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Ratio of earnings to fixed charges 13.8 13.9 15.2 8.5 9.9 7.9 5.1
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INCLUDING INTEREST CREDITED
UNDER REINSURANCE CONTRACTS
Income from continuing operations before income taxes
and minority interest $ 91.2 $113.4 $138.1 $ 93.1 $175.3 $170.1 $156.9
Fixed charges:
Interest expensed and capitalized $ 60.9 $100.1 $162.0 $164.1 $122.4 $127.6 $127.7
One third of rentals $ 0.9 $ 1.0 $ 0.9 $ 1.4 $ 2.0 $ 2.0 $ 2.0
Distribution requirements of preferred securities of
majority-owned subsidiary $ -- $ 13.1
------ ------ ------ ------ ------ ------ ------
Total fixed charges $ 61.8 $101.1 $162.9 $165.5 $124.4 $129.6 $142.8
Less interest capitalized, net of amortization $ -- $ -- $ -- $ -- $ -- $ -- $ --
Income from continuing operations before income taxes
and minority interest plus fixed charges $153.0 $214.5 $301.0 $258.6 $299.7 $299.7 $299.7
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Ratio of earnings to fixed charges 2.5 2.1 1.8 1.6 2.4 2.3 2.1
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EXCLUDING INTEREST CREDITED NINE MONTHS ENDED SEPTEMBER 30, 2001
UNDER REINSURANCE CONTRACTS ------------------------------------------
ADJUSTED
HISTORICAL PRO FORMA (a) PRO FORMA (b)
---------- ------------- -------------
Income from continuing operations before income
taxes and minority interest $ 98.5 $ 94.6 $ 85.5
Fixed charges:
Interest expensed and capitalized $ 13.7 $ 16.9 $ 16.9
One-third of rentals $ 1.7 $ 1.7 $ 1.7
Distribution requirements of preferred securities
of majority-owned subsidiary $ -- $ 9.8
------ ------ ------
Total fixed charges $ 15.4 $ 18.6 $ 28.4
Less interest capitalized, net of amortization $ -- $ -- $ --
Income from continuing operations before income taxes
and minority interest plus fixed charges $113.9 $113.2 $113.9
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Ratio of earnings to fixed charges 7.4 6.1 4.0
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INCLUDING INTEREST CREDITED
UNDER REINSURANCE CONTRACTS
Income from continuing operations before income taxes
and minority interest $ 98.5 $ 94.6 $ 85.5
Fixed charges:
Interest expensed and capitalized $ 93.3 $ 96.5 $ 96.5
One third of rentals $ 1.7 $ 1.7 $ 1.7
Distribution requirements of preferred securities of
majority-owned subsidiary $ -- $ 9.8
------ ------ ------
Total fixed charges $ 95.0 $ 98.2 $108.0
Less interest capitalized, net of amortization $ -- $ -- $ --
Income from continuing operations before income taxes
and minority interest plus fixed charges $193.5 $192.8 $193.5
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Ratio of earnings to fixed charges 2.0 2.0 1.8
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(a) As adjusted to give effect to the $200.0 million senior notes offering.
(b) As further adjusted to give effect to the senior notes offering and $225.0
million Trust PIERS units offering.