EXHIBIT 12.1
STATEMENT OF COMPUTATION OF RATIO OF EARNINGS TO FIXED CHARGES
| Year ended December 31 | ||||||||||||||||
| 2008 | 2007 | 2006 | 2005 | 2004 | ||||||||||||
| (in millions except for ratio amounts) | ||||||||||||||||
| Income (loss) before income tax and minority interest |
$ | (562 | ) | $ | 1,222 | $ | 1,650 | $ | 162 | $ | 504 | |||||
| Less: |
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| Income (loss) from equity investees |
(379 | ) | 183 | 288 | 254 | 212 | ||||||||||
| Preferred stock dividends |
29 | - | - | - | - | |||||||||||
| Add: |
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| Fixed charges |
186 | 166 | 165 | 195 | 211 | |||||||||||
| Distributions from equity investees |
67 | 84 | 118 | 199 | 130 | |||||||||||
| Income as adjusted |
$ | 41 | $ | 1,289 | $ | 1,645 | $ | 302 | $ | 633 | ||||||
| Fixed charges: |
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| Interest expense |
$ | 134 | $ | 140 | $ | 131 | $ | 124 | $ | 124 | ||||||
| Portion of rent expense representative of the interest factor |
17 | 17 | 17 | 24 | 23 | |||||||||||
| Preferred stock dividends |
29 | - | - | - | - | |||||||||||
| Interest credited to policyholders |
6 | 9 | 17 | 47 | 64 | |||||||||||
| Fixed charges |
$ | 186 | $ | 166 | $ | 165 | $ | 195 | $ | 211 | ||||||
| Ratio of earnings to fixed charges |
(a | ) | 7.8 | 10.0 | 1.5 | 3.0 | ||||||||||
| (a) | For the year ended December 31, 2008, income as adjusted was insufficient to cover fixed charges by $145 million. |