EX-12.1 3 ex12_1.htm EXHIBIT 12.1

Exhibit 12.1

OCWEN FINANCIAL CORPORATION AND SUBSIDIARIES

COMPUTATION OF EARNINGS TO FIXED CHARGES

(Dollars in thousands)

|  | 2011 |  |  | 2010 |  |  | 2009 |  |  | 2008 |  |  | 2007 |
Earnings: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Income from continuing operations before income taxes (1) |  | $ | 123,741 |  |  | $ | 37,783 |  |  | $ | 96,194 |  |  | $ | 44,092 |  |  | $ | 49,891 |
Add: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Interest expensed and capitalized, except interest on deposits, and amortization of capitalized debt expenses |  |  | 131,376 |  |  |  | 85,001 |  |  |  | 62,541 |  |  |  | 86,141 |  |  |  | 75,890 |
Interest on deposits |  |  | 1,390 |  |  |  | 918 |  |  |  | 572 |  |  |  | 654 |  |  |  | 917 |
Interest component of rental expense |  |  | 1,854 |  |  |  | 4,101 |  |  |  | 2,100 |  |  |  | 2,650 |  |  |  | 2,217 |
Total fixed charges (2) |  |  | 134,620 |  |  |  | 90,020 |  |  |  | 65,213 |  |  |  | 89,445 |  |  |  | 79,024 |
Earnings for computation purposes |  | $ | 258,361 |  |  | $ | 127,803 |  |  | $ | 161,407 |  |  | $ | 133,537 |  |  | $ | 128,915 |
Ratio of earnings to fixed charges: |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |  |
Including interest on deposits (3) |  |  | 1.92 |  |  |  | 1.42 |  |  |  | 2.48 |  |  |  | 1.49 |  |  |  | 1.63 |
Excluding interest on deposits (3) |  |  | 1.93 |  |  |  | 1.42 |  |  |  | 2.49 |  |  |  | 1.50 |  |  |  | 1.64 |

(1) | Excludes income or loss from equity investees but includes any distributions received representing a return on capital
(2) | Fixed charges represent total interest expensed and capitalized, including and excluding interest on deposits, amortization of capitalized debt expenses as well as the interest component of rental expense.
(3) | The ratios of earnings to fixed charges were computed by dividing (x) income from continuing operations before income taxes plus fixed charges by (y) fixed charges.