EX-12.1 3 a201610-kex121.htm EXHIBIT 12.1
Exhibit 12.1
Ratio of Earnings to Fixed Charges
(dollars in millions)

|  |  | Years Ended December 31,
| 2016 |  | 2015 |  | 2014 |  | 2013 |  | 2012
Income before income taxes | $ | 1,043.9 |  |  | $ | 744.8 |  |  | $ | 1,008.5 |  |  | $ | 635.3 |  |  | $ | 919.2 |
Less: |  |  |  |  |  |  |  |  |
Undistributed income (loss) of investees accounted for under the |  |  |  |  |  |  |  |  |
| equity method | 1.6 |  |  | 7.0 |  |  | 3.0 |  |  | 4.3 |  |  | 3.3 |
Adjusted earnings before fixed charges | 1,042.3 |  |  | 737.8 |  |  | 1,005.5 |  |  | 631.0 |  |  | 915.9 |
Add fixed charges: |  |  |  |  |  |  |  |  |
Interest expense | 163.5 |  |  | 165.5 |  |  | 108.1 |  |  | 134.8 |  |  | 117.5 |
Interest credited on reinsurance contracts | 364.7 |  |  | 337.0 |  |  | 451.0 |  |  | 476.5 |  |  | 379.9 |
One-third of rentals | 4.6 |  |  | 4.0 |  |  | 6.4 |  |  | 6.2 |  |  | 6.5 |
| Total fixed charges | 532.8 |  |  | 506.5 |  |  | 565.5 |  |  | 617.5 |  |  | 503.9 |
| Total earnings plus fixed charges | $ | 1,575.1 |  |  | $ | 1,244.3 |  |  | $ | 1,571.0 |  |  | $ | 1,248.5 |  |  | $ | 1,419.8 |
Ratio of earnings to fixed charges | 3.0 |  |  | 2.5 |  |  | 2.8 |  |  | 2.0 |  |  | 2.8 |
Total fixed charges | $ | 532.8 |  |  | $ | 506.5 |  |  | $ | 565.5 |  |  | $ | 617.5 |  |  | $ | 503.9 |
Less interest credited on reinsurance contracts | 364.7 |  |  | 337.0 |  |  | 451.0 |  |  | 476.5 |  |  | 379.9 |
| Total fixed charges excluding interest credited(1) | $ | 168.1 |  |  | $ | 169.5 |  |  | $ | 114.5 |  |  | $ | 141.0 |  |  | $ | 124.0 |
Total earnings plus fixed charges excluding interest credited |  |  |  |  |  |  |  |  |
| under reinsurance contracts(1) | $ | 1,210.4 |  |  | $ | 907.3 |  |  | $ | 1,120.0 |  |  | $ | 772.0 |  |  | $ | 1,039.9 |
Ratio of earnings to fixed charges excluding interest credited |  |  |  |  |  |  |  |  |
| under reinsurance contracts(1) | 7.2 |  |  | 5.4 |  |  | 9.8 |  |  | 5.5 |  |  | 8.4 |

(1) | This information is not required, but the Company believes it provides additional useful information on the coverage of fixed charges that are not related to its products.