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EXHIBIT 12 CAPSTEAD MORTGAGE CORPORATION
COMPUTATION OF RATIO OF EARNINGS TO COMBINED
FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(In thousands, except ratios)
(Unaudited)  (a)
    
    Computation of ratio of earnings to combined fixed charges and preferred
stock dividends (including CMO debt): Nine Months Ended
    
    Year Ended December 31September 30, 2004
    
    2003
    
    2002
    
    2001
    
    2000
    
    1999Fixed charges
    
    $
    31,268
    
    
    $
    62,859
    
    
    $
    169,148
    
    
    $
    362,327
    
    
    $
    540,605
    
    
    $
    502,933Preferred stock dividends
    
    
    15,195
    
    
    
    20,273
    
    
    
    20,362
    
    
    
    20,446
    
    
    
    24,260
    
    
    
    22,556Combined
fixed charges and preferred stock
dividends
    
    $
    46,463
    
    
    $
    83,132
    
    
    $
    189,510
    
    
    $
    382,773
    
    
    $
    564,865
    
    
    $
    525,489Fixed charges
    
    $
    31,268
    
    
    $
    62,859
    
    
    $
    169,148
    
    
    $
    362,327
    
    
    $
    540,605
    
    
    $
    502,933Net income (loss)
    
    
    33,656
    
    
    
    60,659
    
    
    
    96,123
    
    
    
    106,276
    
    
    
    (51,486
    )
    
    
    57,909$
    64,924
    
    
    $
    123,518
    
    
    $
    265,271
    
    
    $
    468,603
    
    
    $
    489,119
    
    
    $
    560,842Ratio of
earnings to combined fixed charges
and preferred stock
dividends
    
    
    1.40:1
    
    
    
    1.49:1
    
    
    
    1.40:1
    
    
    
    1.22:1
    
    
    
    0.87:1
    
    
    
    1.07:1
  (b)
    
    Computation of ratio of earnings to combined fixed charges and preferred
stock dividends (excluding CMO debt): Nine Months Ended
    
    Year Ended December 31September 30, 2004
    
    2003
    
    2002
    
    2001
    
    2000
    
    1999Fixed charges
    
    $
    26,129
    
    
    $
    28,933
    
    
    $
    53,079
    
    
    $
    164,422
    
    
    $
    303,126
    
    
    $
    232,852Preferred stock dividends
    
    
    15,195
    
    
    
    20,273
    
    
    
    20,362
    
    
    
    20,446
    
    
    
    24,260
    
    
    
    22,556Combined
fixed charges and preferred stock
dividends
    
    $
    41,324
    
    
    $
    49,206
    
    
    $
    73,441
    
    
    $
    184,868
    
    
    $
    327,386
    
    
    $
    255,408Fixed charges
    
    $
    26,129
    
    
    $
    28,933
    
    
    $
    53,079
    
    
    $
    164,422
    
    
    $
    303,126
    
    
    $
    232,852Net income (loss)
    
    
    33,656
    
    
    
    60,659
    
    
    
    96,123
    
    
    
    106,276
    
    
    
    (51,486
    )
    
    
    57,909$
    59,785
    
    
    $
    89,592
    
    
    $
    149,202
    
    
    $
    270,698
    
    
    $
    251,640
    
    
    $
    290,761Ratio of
earnings to combined fixed charges
and preferred stock
dividends
    
    
    1.45:1
    
    
    
    1.82:1
    
    
    
    2.03:1
    
    
    
    1.46:1
    
    
    
    0.77:1
    
    
    
    1.14:1