EX-12.1 4 cno12312016ex121.htm EXHIBIT 12.1 Exhibit



Exhibit 12.1

CNO FINANCIAL GROUP, INC. AND SUBSIDIARIES
Computation of Ratio of Earnings to Fixed Charges
(Dollars in millions)


 
2016
 
2015
 
2014
 
2013
 
2012
Pretax income from operations:
 
 
 
 
 
 
 
 
 
Net income
$
358.2

 
$
270.7

 
$
51.4

 
$
478.0

 
$
221.0

Add income tax expense (benefit)
(5.0
)
 
97.0

 
123.7

 
(173.2
)
 
(65.3
)
Pretax income from operations
353.2

 
367.7

 
175.1

 
304.8

 
155.7

Add fixed charges:
 
 
 
 
 
 
 
 
 
Interest expense on corporate debt
45.8

 
45.0

 
43.9

 
51.3

 
66.2

Interest expense on investment borrowings and borrowings related to variable interest entities
70.6

 
49.9

 
48.9

 
54.0

 
48.4

Interest added to policyholder account balances
112.9

 
122.7

 
173.0

 
232.5

 
260.5

Portion of rental (a)
17.2

 
14.1

 
15.1

 
13.3

 
14.6

Fixed charges
246.5

 
231.7

 
280.9

 
351.1

 
389.7

Adjusted earnings
$
599.7

 
$
599.4

 
$
456.0

 
$
655.9

 
$
545.4

Ratio of earnings to fixed charges
2.43X

 
2.59X

 
1.62X

 
1.87X

 
1.40X


____________________
(a)
Interest portion of rental is estimated to be 33 percent.