Exhibit 12.1 Computation of Ratio of Earnings to Fixed Charges and Preferred Dividends (Dollars in millions) Six months ended Year ended June 30, December 31, 2006 2005 ---- ---- Pretax income from operations: Net income........................................................................... $ 42.3 $324.9 Add income tax expense............................................................... 23.9 178.5 ------ ------ Pretax income from operations..................................................... 66.2 503.4 ------ ------ Add fixed charges: Interest expense on corporate debt................................................... 24.4 48.1 Interest expense on investment borrowings............................................ 9.1 10.2 Interest added to policyholder account balances ..................................... 207.0 419.9 Portion of rental (a)................................................................ 6.5 12.6 ------ ------ Fixed charges..................................................................... 247.0 490.8 ------ ------ Adjusted earnings................................................................. $313.2 $994.2 ====== ====== Ratio of earnings to fixed charges............................................ 1.27X 2.03X ===== ===== Fixed charges.......................................................................... $247.0 $490.8 Add dividends on preferred stock, including dividends on preferred stock of subsidiaries (divided by the ratio of income to pretax income).................................... 29.7 58.9 ------ ------ Fixed charges plus preferred dividends............................................ $276.7 $549.7 ====== ====== Adjusted earnings................................................................. $313.2 $994.2 ====== ====== Ratio of earnings to fixed charges and preferred dividends.................... 1.13X 1.81X ===== ===== <FN> - -------------------- (a) Interest portion of rental is estimated to be 33 percent. </FN>