EX-12 4 rdn-ex12_20151231.htm RATIO OF EARNINGS TO FIXED CHARGES AND TO COMBINED FIXED CHARGES
Exhibit 12
Radian Group Inc.
Ratio of Earnings to Fixed Charges and to Combined Fixed Charges and Preferred Dividends

| 2015 |  | 2014 |  | 2013 |  | 2012 |  | 2011
Net earnings (loss) from continuing operations | $ | 281,539 |  |  | $ | 1,259,574 |  |  | $ | (141,851 | ) |  | $ | (224,105 | ) |  | $ | (446,790 | )
Federal and state income tax provision (benefit) | 156,290 |  |  | (852,418 | ) |  | (31,495 | ) |  | (48,323 | ) |  | (138,238 | )
Earnings (loss) before income taxes | 437,829 |  |  | 407,156 |  |  | (173,346 | ) |  | (272,428 | ) |  | (585,028 | )
Equity in net income of affiliates | — |  |  | — |  |  | — |  |  | — |  |  | — |
Distributed income from equity investees | — |  |  | — |  |  | — |  |  | — |  |  | — |
Net earnings (loss) | 437,829 |  |  | 407,156 |  |  | (173,346 | ) |  | (272,428 | ) |  | (585,028 | )
Fixed charges: |  |  |  |  |  |  |  |  |
Interest | 91,102 |  |  | 90,464 |  |  | 74,618 |  |  | 51,832 |  |  | 61,394 |
One-Third of all rentals | 1,656 |  |  | 1,308 |  |  | 1,020 |  |  | 1,269 |  |  | 1,060 |
Fixed charges | 92,758 |  |  | 91,772 |  |  | 75,638 |  |  | 53,101 |  |  | 62,454 |
Preferred dividends | — |  |  | — |  |  | — |  |  | — |  |  | — |
Fixed charges and preferred dividends | 92,758 |  |  | 91,772 |  |  | 75,638 |  |  | 53,101 |  |  | 62,454 |
Net earnings (loss) and fixed charges | $ | 530,587 |  |  | $ | 498,928 |  |  | $ | (97,708 | ) |  | $ | (219,327 | ) |  | $ | (522,574 | )
Net earnings (loss), fixed charges and preferred dividends | $ | 530,587 |  |  | $ | 498,928 |  |  | $ | (97,708 | ) |  | $ | (219,327 | ) |  | $ | (522,574 | )
Ratio of net earnings (loss) and fixed charges to fixed charges | 5.7x |  | 5.4x |  | (1) |  | (1) |  | (1)
Ratio of net earnings (loss), fixed charges and preferred stock dividends to fixed charges and preferred stock dividends (2) | 5.7x |  | 5.4x |  | (1) |  | (1) |  | (1)

(1) For the periods ended December 31, 2013, 2012 and 2011, earnings were not adequate to cover fixed charges in the
amounts of $(97,708), $(219,327) and $(522,574), respectively.
(2) Interest on tax accruals that are non-third party indebtedness are excluded from the calculation.