EX-12 3 0003.txt COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AMERICAN FINANCIAL CORPORATION AND SUBSIDIARIES EXHIBIT 12 - COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES (Dollars in Thousands)
Year Ended December 31, ---------------------------------------------------------------------- 2000 1999 1998 1997 1996 ---- ---- ---- ---- ---- Pretax income (loss) ($ 46,462) $231,447 $209,563 $322,563 $304,651 Minority interest in subsidiaries having fixed charges (*) 24,491 44,790 45,120 45,098 52,838 Less undistributed equity in losses of investees 142,230 32,156 17,997 10,363 31,353 Fixed charges: Interest expense 67,471 65,858 73,868 88,402 88,144 Debt discount (premium) and expense 318 (449) (631) (701) (1,174) One-third of rentals 13,963 12,226 11,883 10,152 9,279 -------- -------- -------- -------- -------- EARNINGS $202,011 $386,028 $357,800 $475,877 $485,091 ======== ======== ======== ======== ======== Fixed charges: Interest expense $ 67,471 $ 65,858 $ 73,868 $ 88,402 $ 88,144 Debt discount (premium) and expense 318 (449) (631) (701) (1,174) One-third of rentals 13,963 12,226 11,883 10,152 9,279 Accrued distribution of subsidiary trust preferred subsidiaries 18,399 18,575 19,031 15,499 1,031 -------- -------- -------- -------- -------- FIXED CHARGES $100,151 $ 96,210 $104,151 $113,352 $ 97,280 ======== ======== ======== ======== ======== Fixed charges and preferred dividends: Fixed charges - per above $100,151 $ 96,210 $104,151 $ 113,352 $ 97,280 Preferred dividends 7,961 8,991 9,403 21,967 25,190 -------- -------- -------- -------- -------- FIXED CHARGES AND PREFERRED DIVIDENDS $108,112 $105,201 $113,554 $135,319 $122,470 ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges 2.02 4.01 3.44 4.20 4.99 ==== ==== ==== ==== ==== Earnings in Excess of Fixed Charges $101,860 $289,818 $253,649 $362,525 $387,811 ======== ======== ======== ======== ======== Ratio of Earnings to Fixed Charges and Preferred Dividends 1.87 3.67 3.15 3.52 3.96 ==== ==== ==== ==== ==== Earnings in Excess of Fixed Charges and Preferred Dividends $ 93,899 $280,827 $244,246 $340,558 $362,621 ======== ======== ======== ======== ========
(*) Amounts include accrued distributions on trust preferred securities. E-2