EX-12 8 c70986exv12.txt COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AMERUS GROUP CO. EXHIBIT 12 - STATEMENT RE: COMPUTATION OF RATIOS RATIO OF EARNINGS TO COMBINED FIXED CHARGES AND PREFERENCE SECURITY DIVIDENDS
Six Months Ended June 30, Years Ended December 31, 2002 2001 2001 2000 1999 1998 1997 ----------------------- ------------------------------------------------------- ($ in thousands) Earnings Pre-tax income from continuing operations $ 40,308 $ 58,124 $ 118,845 $ 115,316 $ 97,693 $ 92,465 $ 75,042 Less: Income (loss) from equity investees (2,241) 3,819 5,072 3,481 (603) (3,791) 13,814 Add: Distributed income from equity investees 1,702 4,008 7,730 4,449 1,804 747 4,728 ----------------------- ------------------------------------------------------- 44,251 58,313 121,503 116,284 100,100 97,003 65,956 ----------------------- ------------------------------------------------------- Fixed charges 13,515 16,511 30,092 32,355 30,676 35,247 19,306 Less: Preference security dividend requirements not included in net income - - - - - 4,697 592 ----------------------- ------------------------------------------------------- Net fixed charges 13,515 16,511 30,092 32,355 30,676 30,550 18,714 ----------------------- ------------------------------------------------------- Total Earnings $ 57,766 $ 74,824 $ 151,595 $ 148,639 $ 130,776 $ 127,553 $ 84,670 ======================= ======================================================= Fixed Charges (1) Interest expense on debt 9,769 6,963 14,415 14,610 12,229 16,552 9,915 Amortization of debt issuance costs 608 737 3,155 1,833 1,538 1,724 1,715 Estimate of interest within rental expense 543 1,032 926 799 155 257 65 Preference security dividend requirements 2,595 7,779 11,596 15,113 16,754 16,714 7,611 ----------------------- ------------------------------------------------------- Total Combined Fixed Charges and Preference Security Dividends $ 13,515 $ 16,511 $ 30,092 $ 32,355 $ 30,676 $ 35,247 $ 19,306 ======================= ======================================================= Ratio of Earnings to Combined Fixed Charges and Preference Security Dividends 4.27x 4.53x 5.04x 4.59x 4.26x 3.62x 4.39x ======================= =======================================================
(1) Fixed charges do not include interest credited to deferred annuity account balances which are not considered borrowing costs for a life insurance company.