EX-12.1 13 axs-20171231xexx121.htm EXHIBIT 12.1
Exhibit 12.1
AXIS CAPITAL HOLDINGS LIMITED
COMPUTATION OF RATIO OF EARNINGS (LOSS) TO FIXED CHARGES AND PREFERRED DIVIDENDS

| Year ended December 31, | 2017 |  | 2016 |  | 2015 |  | 2014 |  | 2013 |
| Earnings: income (loss) before income taxes | $ | (368,109 | ) |  | $ | 521,802 |  |  | $ | 644,659 |  |  | $ | 830,472 |  |  | $ | 734,467 |  |
| Add: fixed charges | 61,686 |  |  | 57,641 |  |  | 58,702 |  |  | 80,809 |  |  | 67,944 |  |
| Add: amounts attributable from noncontrolling interests | — |  |  | — |  |  | — |  |  | 6,181 |  |  | — |  |
| Earnings (loss) for computation | $ | (306,423 | ) |  | $ | 579,443 |  |  | $ | 703,361 |  |  | $ | 917,462 |  |  | $ | 802,411 |  |
| Assumed interest component of rent expense(1) | $ | 8,756 |  |  | $ | 7,673 |  |  | $ | 8,793 |  |  | $ | 8,327 |  |  | $ | 8,866 |  |
| Interest expense | 52,930 |  |  | 49,968 |  |  | 49,909 |  |  | 72,482 |  |  | 59,078 |  |
| Total fixed charges | $ | 61,686 |  |  | $ | 57,641 |  |  | $ | 58,702 |  |  | $ | 80,809 |  |  | $ | 67,944 |  |
| Ratio of earnings to fixed charges(3) | (5.0 | ) |  | 10.1 |  |  | 12.0 |  |  | 11.4 |  |  | 11.8 |  |
| Preferred share dividends(2) | $ | 46,810 |  |  | $ | 46,597 |  |  | $ | 40,069 |  |  | $ | 40,088 |  |  | $ | 40,474 |  |
| Total fixed charges and preferred share dividends | $ | 108,496 |  |  | $ | 104,238 |  |  | $ | 98,771 |  |  | $ | 120,897 |  |  | $ | 108,414 |  |
| Ratio of earnings to fixed charges and preferred |  |  |  |  |  |  |  |  |  |
| share dividends (3) | (2.8 | ) |  | 5.6 |  |  | 7.1 |  |  | 7.6 |  |  | 7.4 |  |

(1) | 33.3% represents a reasonable approximation of the interest factor.

(2) | Dividends have been tax effected at a 0% rate because it is presumed they will be funded from a Bermuda entity.

(3) | For the year ended December 31, 2017, AXIS Capital required $368,109 of additional earnings to achieve a 1:1 ratio of earnings to fixed charges and $414,919 of additional earnings to achieve a 1:1 ratio of earnings to fixed charges and preferred share dividends.