Exhibit 12.1
MBIA Inc. and Subsidiaries
Ratio of Earnings to Fixed Charges
(dollars in millions)
(Unaudited)
| Years Ended December 31, | Six Months Ended June 30, 2016 |
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| 2011 | 2012 | 2013 | 2014 | 2015 | ||||||||||||||||||||
| Earnings |
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| Income (loss) before income taxes |
$ | (2,239 | ) | $ | 1,598 | $ | 416 | $ | 641 | $ | 289 | $ | (156 | ) | ||||||||||
| Add – Fixed charges – see below |
363 | 340 | 282 | 250 | 239 | 116 | ||||||||||||||||||
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| Adjusted income (loss) before income taxes |
$ | (1,876 | ) | $ | 1,938 | $ | 698 | $ | 891 | $ | 528 | $ | (40 | ) | ||||||||||
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| Fixed Charges |
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| Interest Expense |
$ | 362 | $ | 339 | $ | 281 | $ | 249 | $ | 238 | $ | 115 | ||||||||||||
| Portion of rentals deemed to be interest |
1 | 1 | 1 | 1 | 1 | 1 | ||||||||||||||||||
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| Total Fixed Charges |
$ | 363 | $ | 340 | $ | 282 | $ | 250 | $ | 239 | $ | 116 | ||||||||||||
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| Ratio of earnings to fixed charges1 |
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| Ratio2 |
n/m | 5.70 | 2.48 | 3.57 | 2.21 | n/m | ||||||||||||||||||
| Coverage deficiency3 |
$ | (2,239 | ) | $ | — | $ | — | $ | — | $ | — | $ | (156 | ) | ||||||||||
| 1 | Since MBIA Inc. has not issued preferred stock, there is no difference between the ratio of earnings to fixed charges and the ratio of earnings to fixed charges and preferred stock dividends. |
| 2 | Ratios of less than one-to-one are presented as “n/m” or not meaningful. |
| 3 | Represents additional earnings that would be necessary to result in a one-to-one ratio. |