Exhibit 12
Genworth Financial, Inc.
Statement of Ratio of Income to Fixed Charges
(Dollar amounts in millions)
| Three months ended March 31, 2010 |
Years ended December 31, | |||||||||||||||||||
| 2009 | 2008 | 2007 | 2006 | 2005 | ||||||||||||||||
| Income (loss) from continuing operations before income taxes and accounting changes |
$ | 119 | $ | (792 | ) | $ | (942 | ) | $ | 1,606 | $ | 1,853 | $ | 1,745 | ||||||
| Less: income attributable to noncontrolling interests before income taxes |
48 | 87 | — | — | — | — | ||||||||||||||
| Income (loss) from continuing operations before income taxes and accounting changes and excluding income attributable to noncontrolling interests |
$ | 71 | $ | (879 | ) | $ | (942 | ) | $ | 1,606 | $ | 1,853 | $ | 1,745 | ||||||
| Fixed charges included in income (loss) from continuing operations: |
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| Interest expense |
$ | 115 | $ | 393 | $ | 470 | $ | 481 | $ | 364 | $ | 293 | ||||||||
| Interest portion of rental expense |
4 | 14 | 18 | 15 | 15 | 13 | ||||||||||||||
| Subtotal |
119 | 407 | 488 | 496 | 379 | 306 | ||||||||||||||
| Interest credited to investment contractholders |
213 | 984 | 1,293 | 1,552 | 1,520 | 1,423 | ||||||||||||||
| Total fixed charges from continuing operations |
332 | 1,391 | 1,781 | 2,048 | 1,899 | 1,729 | ||||||||||||||
| Fixed charges included in income from discontinued operations: |
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| Interest expense |
— | — | — | — | — | — | ||||||||||||||
| Interest portion of rental expense |
— | — | — | — | — | — | ||||||||||||||
| Subtotal |
— | — | — | — | — | — | ||||||||||||||
| Interest credited to investment contractholders |
— | — | — | 1 | 2 | 2 | ||||||||||||||
| Total fixed charges from discontinued operations |
— | — | — | 1 | 2 | 2 | ||||||||||||||
| Total fixed charges |
$ | 332 | $ | 1,391 | $ | 1,781 | $ | 2,049 | $ | 1,901 | $ | 1,731 | ||||||||
| Income (loss) available for fixed charges (including interest credited to investment contractholders) |
$ | 403 | $ | 512 | $ | 839 | $ | 3,655 | $ | 3,754 | $ | 3,476 | ||||||||
| Ratio of income (loss) to fixed charges (including interest credited to investment contractholders) |
1.21 | 0.37 | 0.47 | 1.78 | 1.97 | 2.01 | ||||||||||||||
| Income (loss) available for fixed charges (excluding interest credited to investment contractholders) |
$ | 190 | $ | (472 | ) | $ | (454 | ) | $ | 2,102 | $ | 2,232 | $ | 2,051 | ||||||
| Ratio of income (loss) to fixed charges (excluding interest credited to investment contractholders) |
1.60 | (1.16 | ) | (0.93 | ) | 4.24 | 5.89 | 6.70 | ||||||||||||
For the years ended December 31, 2009 and 2008, our deficiency in income necessary to cover fixed charges was $879 million and $942 million, respectively.