1
EXHIBIT NO. 12
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COMPUTATION OF
RATIO OF EARNINGS
TO FIXED CHARGES
2
THE PROGRESSIVE CORPORATION
COMPUTATION OF RATIO OF EARNINGS
TO FIXED CHARGES
(millions)
(unaudited)
Six Months ended June 30,
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1998 1997
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Income before income taxes: $354.4 $256.9
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Fixed charges:
Interest and amortization of indebtedness 32.3 32.3
Portion of rents representative of the interest 3.3 2.6
factor (1)
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Total fixed charges 35.6 34.9
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Total income available for fixed charges $390.0 $291.8
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Ratio of earnings to fixed charges 11.0 8.4
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1 Excludes interest capitalized of $1.0 million for the six months ended
June 30, 1998; no interest was capitalized in 1997.