EX-12.1 4 exhibit121.htm EXHIBIT 12.1 TABLE

Exhibit 12.1
LINCOLN NATIONAL CORPORATION AND SUBSIDIARIES
HISTORICAL RATIO OF EARNINGS TO FIXED CHARGES
(dollars in millions)
  
                             
   
  
For the Nine
Months Ended
 September 30,
    
For the Years Ended December 31,
  
Earnings
                            
(dollars in millions)
  
2014
    
2013
    
2013
    
2012
    
2011
    
2010
    
2009
  
Income (loss) from continuing operations before taxes
  
$
1,564
    
$
1,165
    
$
1,631
    
$
1,568
    
$
503
    
$
1,135
    
$
(673
)
Sub-total of fixed charges
    
203
      
207
      
279
      
282
      
308
      
307
      
292
  
                                                         
Sub-total of adjusted income (loss)
    
1,767
      
1,372
      
1,910
      
1,850
      
811
      
1,442
      
(381
)
Interest on annuities and financial products
    
1,882
      
1,854
      
2,486
      
2,478
      
2,488
      
2,499
      
2,513
  
                                                         
Adjusted income
(loss) base
  
$
3,649
    
$
3,226
    
$
4,396
    
$
4,328
    
$
3,299
    
$
3,941
    
$
2,132
  
Fixed Charges
                                                        
Interest and debt expense (1)
  
$
201
    
$
196
    
$
265
    
$
268
    
$
286
    
$
286
    
$
261
  
Interest expense(income) related to uncertain tax positions
    
(8
)
    
1
      
2
      
1
      
9
      
7
      
13
  
Portion of rent expense representing interest
    
10
      
10
      
12
      
13
      
13
      
14
      
18
  
                                                         
Sub-total of fixed charges excluding interest on annuities and financial products
    
203
      
207
      
279
      
282
      
308
      
307
      
292
  
Interest on annuities and financial products
    
1,882
      
1,854
      
2,486
      
2,478
      
2,488
      
2,499
      
2,513
  
                                                         
Total fixed charges
  
$
2,085
    
$
2,061
    
$
2,765
    
$
2,760
    
$
2,796
    
$
2,806
    
$
2,805
  
                                                         
Ratio of sub-total of adjusted income(loss) to sub-total of fixed charges excluding interest on annuities and financial products (2)
    
8.70
      
6.63
      
6.85
      
6.56
      
2.63
      
4.70
      
—
  
Ratio of adjusted income(loss) base to total fixed charges (2)
    
1.75
      
1.57
      
1.59
      
1.57
      
1.18
      
1.40
      
—
  




(1)
Interest and debt expense excludes a $5 million loss, an $8 million loss, a $5 million loss and a $64 million gain related to the early retirement of debt in 2012, 2011, 2010 and 2009, respectively.
(2)
The ratio of earnings to fixed charges for the year ended December 31, 2009, indicated less than one-to-one coverage and is therefore not presented. Additional earnings of $673 million would have been required for the year ended December 31, 2009, to achieve a ratio of one-to-one coverage.